The base year is 2012. A country only produces Blu-ray players. The price of a Blu-ray player in 2012 was $100. The price of a Blu-ray player was $90 in 2013
The quantity of Blu-ray players produced in 2012 was 10,000 units and in 2013 was 10,500 units. Real GDP in 2012 equals
A) $945,000.
B) $1,000,000.
C) $900,000.
D) $1,050,000.
E) an amount that cannot be determined without information about real GDP in 2007 .
B
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For much of 2001 and 2002, McDonalds faced a(n):
A) decrease in demand. B) increase in demand. C) increase in profits. D) none of the above.
If a product exhibits increasing returns to scale, then the average cost of making the product will ______ as its production decreases?
a. increase. b. decrease. c. remain the same. d. there is insufficient information provided to answer the question.
Suppose the demand for good x is ln Qxd = 21 ? 0.8 ln Px ? 1.6 ln Py + 6.2 ln M + 0.4 ln Ax. Then we know goods x and y are:
A. complements. B. inferior goods. C. normal goods. D. substitutes.
Suppose the typical consumer only purchases food and clothing, and her utility can be expressed as U=F*C. Currently, food costs $5 per unit and clothing costs $2 per unit. Her income is $70. If the price of food increases to $6, compare the resulting Laspeyres price index with a true cost of living index
What will be an ideal response?