The outlet substitution bias is most likely to put ________ and so ________ the inflation rate
A) a downward bias into the CPI; overstate
B) no bias into the CPI because it is such a small effect; have no effect on
C) a downward bias into the CPI; understate
D) an upward bias into the CPI; overstate
E) an upward bias into the CPI; understate
D
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The amount single retirees receive in a monthly check if they retire at their retirement age is
A. their PIA. B. their AIME. C. constant throughout their lifetime. D. the most the retiree can receive in interest without having part of their benefit reduced.
The additional revenue associated with hiring one additional unit of some factor input, such as labor, is called
A. marginal factor cost. B. marginal cost. C. marginal revenue product. D. marginal physical product.
Carlos can buy either sushi or eggrolls. If the prices of sushi and eggrolls triple and Carlos's money income doubles, we can deduce that Carlos's budget constraint will
A. shift in but remain parallel to the old one. B. swivel in so that the slope of the budget constraint is doubled. C. shift out but remain parallel to the old one. D. remain unchanged.
In a monopolistic market, the following results occur, except:
A. The monopolist will maximize profits by setting a price that's higher than marginal cost B. The price will be higher than what would prevail in a competitive market C. In monopoly pricing, income is in effect transferred from consumers to the monopolist D. The output level will be higher than in a competitive market