A permanent change to a much higher price of gasoline would lead us to expect fewer gas guzzlers on the road, ceteris paribus
a. True
b. False
Indicate whether the statement is true or false
True
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Which of the following is correct about the economic decisions consumers, firms, and the government have to make?
A) Each faces the problem of scarcity which necessitates trade-offs in making economic decisions. B) Governments may face the problem of shortages but not scarcity in making economic decisions. C) Firms and the government face scarcity, individuals only face shortages. D) Only individuals face scarcity; firms and the government do not.
An example of organizational architecture based on production of intermediate products is when divisions are defined as
a. R&D, Engineering, Production, Marketing, Sales b. Component 1 Plant, Component 2 Plant, Component 3 Plant, Final Assembly c. Store 1, Store 2, Store 3, Region A, Region B, Sales Division d. Business Customers, Educational Customers, Household Customers
In markets characterized by oligopoly,
a. the oligopolists earn the highest profit when they cooperate and behave like a monopolist. b. collusive agreements will always prevail. c. collective profits are always lower with cartel arrangements than they are without cartel arrangements. d. pursuit of self-interest by profit-maximizing firms always maximizes collective profits in the market.
If the minimum wage is above the equilibrium wage rate, then an increase in the minimum wage ________ employment and ________ unemployment
A) increases; increases B) increases; decreases C) decreases; increases D) decreases; decreases E) does not change; increases