If the labor force grows at a faster rate than the number employed, the
What will be an ideal response?
unemployment rate will rise
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The average total cost at the profit-maximizing/loss-minimizing amount is a little over
A. $8 per unit.
B. $9 per unit.
C. $10 per unit.
D. $11 per unit.
As output rises, average fixed cost
A. rises. B. falls. C. remains the same.
Suppose the natural rate of unemployment is 4 percent. If the actual unemployment rate is 4 percent, then the cyclical unemployment rate
A. is 4 percent. B. is 8 percent. C. is 0 percent. D. cannot be determined given the information.
Higher stock prices can lead to greater investment spending by firms because:
A. the firm gets 100 percent of the increase in the stock value. B. the market value of a firm is now less than the replacement cost of the firm. C. the cost of internal financing is lower and the firm also gets 100 percent of the increase in the stock value. D. the cost of external financing is lower.