Which of the following is the best example of a short-run adjustment?
A) A local bakery purchases another commercial oven as part of its capacity expansion.
B) Your local Walmart hires two more associates.
C) Smith University completed negotiations to acquire a large piece of land to build its new library.
D) Toyota builds a new assembly plant in Texas.
Answer: B
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Since 1990, a major industrial country with the lowest growth rate in per capita GDP has been _____
a. West Germany b. Italy c. The United States d. Great Britain e. Canada
A reduction in the rate of inflation is known as
A. disinflation. B. deflation. C. inflation. D. None of the above is correct.
When the nominal exchange changes from 110 yen per dollar to 120 yen per dollar, the dollar has:
A. appreciated. B. depreciated. C. become undervalued. D. become overvalued.
Refer to the information provided in Table 14.1 below to answer the question that follows. Table 14.1B's Strategy ?Raise PriceDon't Raise Price?RaiseA's profit $3,000A's profit $10,000?PriceB's profit $3,000B's profit $15,000A's Strategy????Don'tA's profit $15,000A's profit $5,000?RaiseB's profit $10,000B's profit $5,000Refer to Table 14.1. The Nash equilibrium in the game is
A. (Raise Price, Don't Raise Price). B. (Don't Raise Price, Raise Price). C. (Don't Raise Price, Don't Raise Price). D. Both A and B are correct.