The cycle of ________ market demand that leads to ________, and then an increase in the market supply curve has caused many firms bankruptcy.
A) decreased; overexpansion
B) decreased; increased firm level production
C) increased; overexpansion
D) increased; underexpansion
C) increased; overexpansion
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Which of the following will cause equilibrium output in a market to increase?
a. A decrease in firms’ variable costs. b. An outward shift of the demand curve. c. Entry of more firms into the market. d. All of the above.
In the production function for new ideas and technology in ________, a decrease in the labor force will ________ the growth rate of technological change
A) the AK growth models; decrease B) the AK growth models; increase C) the two-sector growth model; decrease D) the two-sector growth model; increase
In the above table, if the marginal factor cost is $48, how many workers would be hired?
A) 3 B) 4 C) 5 D) 6
Assume the economy is experiencing a recessionary gap. Keynesian economists would support which of the following policies:
a. Nonstabilization b. Expansionary c. Nonintervention d. Fixed wage