Technologically efficient production plans are also economically efficient.
Answer the following statement true (T) or false (F)
False
Rationale: All production plans on isoquants are technologically efficient -- but only the least cost ones (given input prices) are economically efficient.
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Refer to the above diagram, which shows demand and supply conditions in the competitive market for product X. Given D0, if the supply curve moved from S0 to S1, then:
A. there has been an increase in the quantity supplied. B. supply has increased and price has risen to 0G. C. supply has increased and equilibrium quantity has decreased. D. supply has decreased and equilibrium quantity has decreased.
Economists use a preference map to illustrate that
A) more is better than less. B) preferences are transitive. C) preferences are complete. D) All of the above.
What role do households play in capital markets?
What will be an ideal response?
A cut in tax rates effects equilibrium real GDP through two channels: ________ disposable income and consumer spending, and ________ the size of the multiplier effect
A) increasing; increasing B) decreasing; decreasing C) decreasing; increasing D) increasing; decreasing