Refer to the below graph. It shows a firm which buys its inputs and sells its output in competitive markets. If the firm develops a new technology that increases labor productivity, the equilibrium level of employment for this firm is expected to be:
A. L0
B. Zero
C. Lower than L0
D. Higher than L0
D. Higher than L0
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"Because of unseasonable cold weather, much of the peach crop has been destroyed." This statement indicates that the:
A. price of peaches will fall. B. quantity of peaches that will be available at any given price has decreased. C. demand for peaches will shift to the left. D. quantity of peaches that will be available at any given price have increased.
Negative Incentive
What will be an ideal response?
Consider a society facing the production possibilities curves in the figure shown. What is the most likely cause of a society moving from PPF3 to PPF1?
A. A tornado B. A desire to read less books C. Better sewing technology D. More workers
The Federal Reserve is most concerned with
A. the CPI. B. the PPI. C. the PCE. D. the Core PCE.