If the owner of a nonrenewable resource expects his profits to be high in future, he will abstain from resource extraction in the present period
a. True
b. False
Indicate whether the statement is true or false
True
You might also like to view...
Currency devaluations help suppliers because they make exports ________ expensive
a. Less b. More c. All of the above d. None of the above
The revenue curves that a monopoly faces are different from those that a perfectly competitive firm faces in that the:
A. marginal revenue curve is downward sloping instead of flat. B. average revenue curve is no longer equal to price. C. marginal revenue curve is now flat instead of downward sloping. D. total revenue curve for a monopoly is linear.
As the price level increases, the quantity of RGDP demanded in the economy ____, and when the price level decreases, the quantity of RGDP demanded in the economy ____
a. decreases, decreases b. increases, increases c. increases, decreases d. decreases, increases
Normal goods always obey the law of demand because, as the price of such a good rises, the
a. fall in quantity demanded due to the substitution effect is offset by a rise in quantity demanded due to the income effect b. fall in quantity demanded due to the substitution effect is reinforced by a fall in quantity demanded due to the income effect c. substitution effect will lead to an inward shift of the demand curve d. substitution effect will lead to an increase in quantity demanded e. rise in quantity demanded due to the substitution effect is offset by a fall in quantity demanded due to the income effect