Suppose a U.S. computer company outsources its technical-support services to India. This will cause
A) the demand for labor in the United States to fall, lowering U.S. wage rates, and the demand for labor in India to increase, increasing Indian wage rates.
B) the demand for labor in the United States to increase, lowering U.S. wage rates, and the demand for labor in India to fall, increasing Indian wage rates.
C) the demand for labor in the United States to fall, lowering U.S. wage rates, and the demand for labor in India to fall, decreasing Indian wage rates.
D) the demand for labor in the United States to increase, increasing U.S. wage rates, and the demand for labor in India to fall, decreasing Indian wage rates.
A
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If the money multiplier is 3.0, a $1,000 increase in the monetary base
A) increases quantity of money by $3,000. B) decreases the quantity of money by 3 percent. C) increases the monetary base by $300. D) increases the money multiplier by 3 percent. E) decreases quantity of money by $3,000.
Comparing the cases of Brazil and Kerala, how would you characterize their different approaches to achieving economic development?
What will be an ideal response?
Very Technical is a firm that sells computing equipment. It costs Very Technical $150 for each order of computer monitors and the variable cost of placing an order is $2 per monitor. Very Technical pays an annual holding cost of $8 per monitor. If Very Technical sells 4,000 computer monitors a year and they order 500 monitors, what is the total annual cost of the monitors?
A) $11,200 B) $9,500 C) $8,750 D) $12,500
In the real world, wage negotiations typically do not drag on for years:
A. because the company can simply offer the split that would eventually occur if the two sides played all the rounds. B. because neither a company nor employees can afford to not work for that long. C. unless the employees play an ultimatum game using a union to negotiate. D. None of these statements is true.