What characteristic do human and physical capital share?
A) Both are controlled by the government.
B) Current costs are incurred for future benefits.
C) Their growth depends crucially on the growth of total factor productivity.
D) The use of both exhibits rivalry.
B
You might also like to view...
If a monopolist had no production costs, it would produce the output where marginal revenue intersects the quantity axis. At this point, the price elasticity of demand would be:
A. 1. B. zero. C. perfectly inelastic. D. perfectly elastic.
According to Okun's law, when the output gap is positive, cyclical unemployment:
A. equals frictional unemployment. B. equals structural unemployment. C. equals zero. D. is negative.
Answer the following statement(s) true (T) or false (F)
1. Large numbers of transactors lower transaction costs. 2. It is easy to exclude people from the benefits of clean air and water. 3. A private good is rival and excludable. 4. A public good is rival. 5. People who get benefits without paying for them are called free riders.
Expected value represents
A) the actual payment one expects to receive. B) the average of all payments one would receive if one undertook the risky event many times. C) the payment one receives if he or she makes the correct decision. D) the payment that is most likely to occur.