Assume a DVC has a real per capita output of $1,000 as compared to $20,000 for an IAC. If both nations realize a 4 percent growth of their real per capita outputs, after one year the absolute real per capita output gap will:
A. remain unchanged at $19,000.
B. increase by $760.
C. decrease by $1,000.
D. increase by $19,760.
B. increase by $760.
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If real GDP is $11,750 billion and aggregate hours are 175 billion, labor productivity equals
A) $23.50 per hour. B) $52 per hour. C) $67 per hour. D) $235 per hour.
In recent years new automobile factories have opened in California and Ohio and closed in Detroit where the unemployment of automobile workers has increased. This unemployment could be decreased if
A) "moving costs" from Detroit to California and Ohio were reduced. B) information about the new jobs was made available to the unemployed workers at reduced cost. C) workers with the appropriate skills were relatively scarce in Ohio and California. D) all of the above.
Figure 7-15
For a firm at equilibrium, at point A in Figure 7-15,
A. the price of labor is high relative to the price of machines. B. the MPP of labor is greater than the MPP of machines. C. the MPP of labor is less than at point B. D. output is higher than at point B.
Which of the following is an example of excessive influencing activities?
A. Estimating the elasticity of demand for your firm's product B. Cancelling a meeting with a client to play golf with your superiors C. Taking clients out for dinner D. Informing the manufacturing division of defects in a shipment