When the expenditure level is above the full employment level of GDP, a possible consequence is
a. falling prices.
b. rising prices.
c. falling disposable income.
d. high levels of unemployment.
b
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All points below the budget line are
A) inferior to every point on the budget line. B) preferred to every point on the budget line. C) affordable. D) Answers A and C are correct.
Accounting costs represent
A) explicit costs paid by the firm. B) opportunity costs. C) both sunk and future costs. D) long run costs only.
According to the World Bank, in 2006, China's GDP was approximately $2.7 trillion (or $2,700 billion). That same year, India's GDP was approximately $906.3 billion
With which of the following populations would China's standard of living have been considered higher than India's that year? A) China's population = 500 million; India's population = 125 million B) China's population = 8.3 billion; India's population = 1.1 billion C) China's population = 1.3 billion; India's population = 1.1 billion D) China's population = 3.5 billion; India's population = 1.1 billion
If wage rates are lower in Mexico than in Germany, labor costs per unit of output can still be higher in Mexico
a. True b. False