If the wage rate doesn't change but a profit-maximizing competitive firm hires fewer workers, we know that
A. demand for the product fell or there has been a reduction in labor productivity.
B. marginal factor cost increased.
C. the price of the product increased.
D. technical change occurred that increased labor productivity, reducing the firm's demand for labor.
Answer: A
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A maximum limit set on the amount of a specific good that may be imported into a country over a given period of time is called a
A. voluntary export restriction. B. nontariff barrier. C. quota. D. tariff.
Refer to Figure 7-4. The efficient quantity of medical services is
A) 200. B) 500. C) 700. D) >700.
Suppose that a politician tells you about a plan to create two expensive but necessary programs to build more production facilities for solar power and wind power. At the same time, the politician is unwilling to cut any other programs. Assuming the resources are already being efficiently used in other programs, where would the point the politician is trying to reach be on the production possibilities frontier?
What will be an ideal response?
Which of the following is NOT an example of natural monopoly?
A. water systems B. electricity transmission C. local telephone services D. farm products