As the baby boom ended, fewer families had young children and, as a consequence, the
a. demand curve for preschool services shifted outward
b. demand curve for preschool services shifted inward
c. supply curve for preschool services shifted outward
d. supply curve for preschool services shifted inward
e. supply and demand curves for preschool services remained constant
B
You might also like to view...
The figure above shows the market for steel, the production of which creates pollution
a. What point represents the equilibrium price and what point represents the equilibrium quantity in an unregulated, competitive market? b. What area represents the deadweight loss of the unregulated, competitive market outcome? c. What point represents the efficient quantity? d. If the output level in part (c) was achieved through the use of a government imposed tax, what price would consumers pay? What price would the producers receive? What distance represents the amount of the tax? e. If government successfully uses marketable permits to eliminate the external cost, what point represents how much output would be produced?
One potential problem with using fiscal policy to close recessionary output gaps is that:
A. sustained government deficits can be harmful to long-run economic growth. B. it may be offset by automatic stabilizers. C. decreased government spending can cause inflationary pressure to build. D. reductions in interest rates can reduce savings and, therefore, investment.
Marginal revenue product measures the:
A. amount by which the extra production of one more worker increases a firm's total revenue. B. decline in product price that a firm must accept to sell the extra output of one more worker. C. increase in total resource cost resulting from the hire of one extra unit of a resource. D. increase in total revenue resulting from the production of one more unit of a product.
All of the following are examples of explicit cost a firm might incur except
A) taxes owed to the state government. B) the revenue a firm generates in using its resources. C) the rental value of the warehouse space the company owns and uses for itself. D) the out-of-pocket expense to hire employees.