If firms in a monopolistically competitive market are earning economic profits greater than zero in the short run, then in the long run:
A. firms will exit this market.
B. profits will increase.
C. profits will decrease.
D. demand will not change.
Answer: C
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With ________, firms value assets on their balance sheet at what they would sell for in the market
A) mark-to-market accounting B) book-value accounting C) historical-cost accounting D) off-balance sheet accounting
A technological advance that increases the productivity of teachers can be expected to have what effects on the equilibrium labor market for teachers?
a. Wages will rise, and quantity of labor will fall. b. Wages will rise, and quantity of labor will rise. c. Wages will fall, and quantity of labor will fall. d. Wages will fall, and quantity of labor will rise. e. Wages and quantity of labor will remain the same.
Over the period from 1950 to 2010, which country experienced the fastest average annual growth rate of real GDP per person?
A. United States B. China C. Japan D. Canada
If the natural rate of unemployment equals 6 percent and the actual rate of unemployment equals 5 percent, then cyclical unemployment equals:
A. ?1.2 percent. B. -1 percent. C. 1 percent. D. 11 percent.