Movements away from equilibrium in the Solow model:
A) persist and cannot be corrected.
B) are corrected only through government intervention.
C) are automatically corrected.
D) are corrected only when the country opens up to international trade.
C
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Consider two countries: a) In the first country there are 1,000 individuals; among them 500 earn $20,000 per month and the remaining 500 earn $400 per month
b) In the second country there are 1,000 people; among them 500 earn $12,000 per month and the remaining 500 people earn $600 per month. Which of the two countries has more inequality and which country is poorer of the two?
Marginal revenue equals the change in total revenue that is earned by selling one more unit of output.
Answer the following statement true (T) or false (F)
How much is the MPS?
In comparison to perfect competition, monopoly price-quantity combinations generate
A. a producer surplus that is smaller. B. total revenue to the producer that is smaller. C. a combination of producer and consumer surplus that is smaller. D. a consumer surplus that is larger.