Suppose the production function is given by Q = min{K, L}. How much output is produced when 10 units of labor and 9 units of capital are employed?
A. 0
B. 4
C. 13
D. 9
Answer: D
You might also like to view...
In the market for jeans, which of the following events increases the de-mand for a pair of jeans?
A. The wage rate paid to garment workers rises. B. The price of a denim skirt (a substitute for jeans) rises. C. The price of denim cloth falls. D. New technology reduces the time it takes to make a pair of jeans.
If V is constant, the rate of growth of M that is consistent with a stable price level is
A) zero. B) the rate of growth of PQ. C) the rate of growth of Q. D) the expected rate of inflation. E) none of the above
If it is desirable to enhance the incomes of factors used intensively in the import-competing industry, then a tariff actually lowers national welfare.
Answer the following statement true (T) or false (F)
By an "increase in demand," economists mean that:
A. product price has fallen so consumers move down to a new point on the demand curve. B. the quantity demanded at each price in a set of prices is greater. C. the quantity demanded at each price in a set of prices is smaller. D. a leftward shift of the demand curve has occurred.