If Project A has a cost of $5 and provides a benefit of $10, and Project B has a cost of $2 and provides a benefit of $4, then switching from Project A to Project B:
A) increases the net benefit by $3. B) increases the net benefit by $6.
C) decreases the net benefit by $6. D) decreases the net benefit by $3.
D
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Given an initial endowment of factor inputs,
A. there are many efficient output levels for the firms. B. a production possibility curve can be determined without knowing the contract curve. C. the midpoint on the production contract curve is the most equitable point. D. there is only one efficient level of outputs.
The number of years it takes for GDP to double is found by
A. Multiplying 72 by per capita GDP. B. Dividing the growth rate by 72. C. Dividing 72 by the growth rate. D. Multiplying 72 by the growth rate.
The existence of discouraged workers will lead to an official unemployment rate that is:
A. overstated. B. understated. C. either overstated or understated. D. unbiased.
Table 7.2GDP for Newland?Nominal GDP(in billions of dollars)GDP deflatorCPI2001$5,900120.1128.320026,300123.0131.720036,800126.3136.5Based on Table 7.2, the real GDP for 2003 was
A. $8,588.4 billion. B. $4,981.7 billion. C. $5,384.0 billion. D. $9,282.0 billion.