The opportunity cost of capital is:
a. the cost of labor inputs required to operate that capital.
b. the cost of raw materials necessary to put that capital to work.
c. the payment necessary to keep that capital from moving to an alternative use.
d. the costs of maintenance necessary to keep that capital operating.
e. the cost of hiring more units of capital to generate additional units of output.
c
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The current percentage of Americans over the age of 65 is
A. 18.2%. B. 19.0%. C. 13.0%. D. 10.5%.
Limits of special-interest contributions to national political campaigns
a. would reduce the extent of rent seeking b. would involve concentrated costs and concentrated benefits c. are a form of rational ignorance d. would heighten the advantage of incumbency e. would heighten the advantage of challengers
What would make the demand for labor more elastic?
What will be an ideal response?
Use the following table for Country X to answer the next question. Column 1 of the table is the world price of a product, Column 2 is the quantity demanded domestically (Qdd), and Column 3 is the quantity supplied domestically (Qsd). Assume the small-country model is applicable.PriceQddQsd$5.002004004.002503503.003003002.003502501.00400200If the world price is $5.00, Country X will experience
A. a domestic surplus of 100 units, which will be exported. B. a domestic surplus of 200 units, which will be exported. C. neither a domestic surplus nor a shortage. D. a domestic shortage of 100 units, which will be imported.