Which of the following is not true for a competitive firm?
A.) The marginal cost curve is the short-run supply curve.
B.) The marginal cost curve is horizontal at the equilibrium price.
C.) The marginal cost curve shifts downward when productivity increases.
D.) The marginal cost curve shifts upward when wages increase.
B.) The marginal cost curve is horizontal at the equilibrium price.
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The table above gives a nation's investment demand and saving supply schedules. It also has the government's net taxes and expenditures. The loanable funds market is in equilibrium when the real interest rate is
A) 7 percent B) 4 percent. C) 3 percent D) 6 percent. E) 5 percent.
In a model based on a weakly dependent time series with serial correlation and strictly exogenous explanatory variables, _____.
A. the feasible generalized least square estimates are unbiased B. the feasible generalized least square estimates are BLUE C. the feasible generalized least square estimates are asymptotically more efficient than OLS estimates D. the feasible generalized least square estimates are asymptotically less efficient than OLS estimates
Suppose the wage rate in a certain industry rises, and firms hire fewer workers. The best explanation of this is that labor:
A. demand fell. B. demand increased. C. supply fell. D. supply increased.
The line that depicts the relationship between the average expected rate of return and the risk level of a financial asset is known as the:
A. Beta Line. B. Security Market Line. C. Risk Premium Line. D. Risk-Return Line.