The theory of education that states firms use educational attainment as a way of sorting between high-ability and low-ability workers is called


signaling.

Economics

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Which of the following is a central bank asset?

A) domestic securities and bills B) currency notes C) bank reserve deposits D) government deposits

Economics

The gravity model suggests that over time

A) trade between neighboring countries will increase. B) trade between all countries will increase. C) world trade will eventually be swallowed by a black hole. D) trade between Earth and other planets will become important. E) the value of trade between two countries will be proportional to the product of the two countries' GDP.

Economics

If MPPa/Pa> MPPb/Pb, then the proportions of these two inputs is optimal.

Answer the following statement true (T) or false (F)

Economics

Equilibrium in a market exists when there is neither a surplus nor a shortage of the item

a. True b. False Indicate whether the statement is true or false

Economics