An increase in natural resources would presumably ______ the costs of production and ______ the economy’s sustainable rate of output.

a. decrease; increase
b. decrease; decrease
c. increase; increase
d. increase; decrease


a. decrease; increase

Economics

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At market equilibrium

A) shortages are greater than surpluses. B) surpluses are greater than shortages. C) quantity demanded equals quantity supplied. D) demand equals supply.

Economics

When a monopolist is maximizing profit, which of the following conditions will always be satisfied?

a. P = MC b. MR = AVC c. P = ATC d. MR = MC

Economics

During a certain year, the consumer price index increased from 120 to 132 and the purchasing power of a person's bank account increased by 4 percent. For that year,

a. the nominal interest rate was 6 percent. b. the nominal interest rate was 14 percent. c. the inflation rate was 12 percent. d. the inflation rate was 9 percent.

Economics

Which of the following statements is true regarding profit-maximizing markup for a Cournot oligopoly with N identical firms?

A. P[NEM/(1 + NEM)] = MC B. P[N(1 + EM)/NEM] = MC C. P = [NEM/(1 + NEM)]MC D. P = [(1 + NEM)/NEM]MC

Economics