An increase in transfer payments would have the same short run effect on the government deficit as an equal
A) increase in government expenditures.
B) reduction in taxes.
C) increase in taxes.
D) Both A and B.
D
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The marginal factor cost (MFC) is the:
a. value of the additional output that an extra unit of a resource can produce. b. additional cost of employing an additional unit of a resource. c. additional cost of producing an additional unit of output. d. the ratio of the total fixed cost to the total cost of production. e. ratio of total cost to the total amount of resources employed.
The fact that the United States exports Budweiser beer and imports Heineken beer can be explained by:
a. the differences in labor productivity in the U.S. and other countries. b. the differences in factor endowments in the U.S. and its trading partners. c. the world price of Budweiser beer is lower than Heineken beer. d. the fact that production of Budweiser beer in the U.S. is inadequate compared to its demand. e. the preference for foreign brands of beer by a part of the U.S. population.
Recall the Application about the response of bike messengers in Zurich to a change in wages to answer the following question(s).Recall the Application. A study of bike messengers in Zurich showed that as the messengers' revenue share increased from 40% to 50%, their:
A. efforts decreased but their incomes still increased. B. efforts increased but their incomes still decreased. C. efforts decreased causing their incomes to decrease. D. efforts increased causing their incomes to increase.
________ is the average cost of producing each unit of output.
A. Average total cost B. Average variable cost C. Marginal cost D. Average fixed cost