Economic rent is
a. the same thing as economic profit
b. the difference between accounting profit and economic profit
c. the amount a firm pays to lease its factory or machinery
d. any earnings in excess of the minimum needed for a good or service to be produced
e. any earnings in excess of the maximum necessary for a good or service to be produced
D
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Referring to Figure 19.1, the peso is likely to appreciate if the exchange rate is either ________ or ________ pesos to the dollar
A) 10; 11 B) 11; 12 C) 12; 13 D) 13; 14
If there is no Ricardo-Barro effect, when the government runs a budget surplus, it
A) contributes to financing investment. B) competes with businesses for private saving. C) shifts the demand for loanable funds curve rightward. D) shifts the supply of loanable funds curve leftward. E) shifts the demand for loanable funds curve leftward.
If the calculated price elasticity of demand between two points is -4, demand is
A) inelastic. B) elastic. C) unresponsive to price. D) unit-elastic.
In general, as wages increase:
A. people are willing to work less. B. people are willing to work more. C. it does not affect people's willingness to work. D. the benefit of working goes down.