Why would it be a mistake to treat opportunity costs and explicit monetary costs as identical?
A. Because sometimes the market does not function well.
B. Because opportunity costs are different for different goods.
C. Because there are trade-offs involved in any decision.
D. Because of existence of efficient markets.
Answer: A
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The idea that the production function exhibits _______implies that ________
A) increasing returns; output should increase steadily as technology grows B) constant returns; each additional unit of labor employed generates an increasing amount of real GDP C) diminishing returns; the Lucas Wedge increases at output increases D) increasing returns; potential GDP is always increasing E) diminishing returns; each additional unit of labor employed generates an ever-decreasing amount of real GDP
The exclusive rights of ownership of property are generally referred to as
A) level property rights. B) private property rights. C) public property rights. D) common property rights.
The Sherman Antitrust Act of 1890 is the federal antitrust law that prohibits:
a. monopolization and conspiracies to restrain trade. b. mergers the substantially lessen competition. c. exclusive dealing, tying contracts, and interlocking directorates. d. unfair methods of competition in commerce.
It has been generally observed that most trade in the world occurs between a developed and a less-developed nation rather than between industrial or developed nations
a. True b. False Indicate whether the statement is true or false