A firm in perfectly competitive industry is maximizing profit at Q = 3,000 . Then its fixed cost increases. The profit-maximizing output is now
a. greater than 3,000 and profit decreases
b. less than 3,000 and profit decreases
c. greater than 3,000 and profit is unchanged
d. equal to 3,000 and profit decreases
e. equal to 3,000 and profit increases
D
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Suppose people decide to buy fewer GE stoves. If General Electric reduces the number of its employees to reduce its costs but no other stove company does so, which type of unemployment results?
A) cyclical B) marginal C) structural D) frictional E) discouraged
If a yet-to-be released video game receives a positive review in a popular gaming magazine,
A) the demand curve is expected to shift to the right. B) the demand curve is expected to shift to the left. C) the demand curve is not expected to change. D) for those who read the review, demand shifts to the left. For those who don't read the review, demand shifts to the right.
In a floating exchange rate system, the capital account balance equals the negative of the current account balance.
Answer the following statement true (T) or false (F)
A US commercial bank can lend 100% of its total reserves
a. true b. false