The less staggered are labor contracts,
A) the more rapidly the economy will adjust to changes in aggregate demand.
B) the less rapidly the economy will adjust to changes in aggregate demand.
C) the greater the inflationary effects of a given change in money growth in the medium run.
D) the less inflationary effects of a given change in money growth in the medium run.
B
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The marginal revenue curve faced by a perfectly competitive firm
A. is downward sloping, because price must be reduced to sell more output. B. lies below the firm's demand curve. C. is horizontal at the market price. D. has all of these characteristics.
If the overall unemployment rate is 8 percent, it is likely that:
a. It is greater than 8 percent for teenagers b. It is less than 8 percent for college=educated middle-aged men. c. It is more than 8 percent for those without a high school diploma. d. All of the above are true.
Which of the following is an important factor that helps in generating economic profit in an industry?
A. Threats of complements B. The means of production C. Type of product manufactured in an industry D. Degree of rivalry within an industry
Suppose we know that a monopolist is maximizing its profits. Which of the following is a correct inference? The monopolist has
A. maximized its total revenue. B. set price equal to its average cost. C. equated marginal revenue and marginal cost. D. maximized the difference between marginal revenue and marginal cost.