In the short run:
A. some inputs are fixed.
B. firms can choose among all possible production techniques.
C. all inputs are variable.
D. firms can use any input combination they want.
Answer: A
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The difference between a specific tariff and an ad valorem tariff is that a specific tariff
a. is a set amount of money per unit of a product, while an ad valorem tariff is a set percentage of product price b. is a set percentage of product price, while an ad valorem tariff is a set amount of money per unit of a product c. names a particular good to which the tariff applies, while an ad valorem tariff applies to large classes of products d. applies only to imports, while an ad valorem tariff applies only to exports e. sets a strict quota limit on the amount one individual can purchase, while an ad valorem tariff sets no such limit
Refer to the information provided in Figure 15.3 below to answer the question(s) that follow. 
Figure 15.3 Refer to Figure 15.3. Gwen's Country Curtains is currently manufacturing 1,000 pairs of curtains per month. This firm
A. could increase profits by either increasing or decreasing the number of pairs of curtains it manufactures. B. should increase the number of pairs of curtains it manufacturers to maximize profit. C. should reduce the number of pairs of curtains it manufacturers to maximize profit. D. should continue to produce 1,000 pairs of curtains; it is already maximizing profits.
When the aggregate supply curve is ________ any increase in the price level will not cause an increase in aggregate output.
A. vertical B. upward sloping C. horizontal D. downward sloping
Tracy won a $100 million jackpot. She can receive the jackpot as a $5 million payment each year for 20 years, or she can ask to receive the present value of all those payments all at once now. Assume an annual interest rate of 5 percent. If she decides to take the present value payment, about how much will she receive?
A. $52.1 million B. $62.3 million C. $71.4 million D. $78.6 million