In economics, the term "marginal" usually refers to
a. a small change in an economic variable
b. a low-quality product or resource
c. an unimportant and irrelevant economic variable
d. an all-or-nothing economic decision
e. a footnote or minor point
A
You might also like to view...
Suppose inflation is expected to be 5 percent next year, and you and your employer agree to a 6 percent increase in your nominal, or monetary, wage. If inflation turns out to be 5%, what is your nominal wage increase?
A deductible reduces ________ in exactly the same way as ________
A) moral hazard; coinsurance B) adverse selection; restrictive provisions C) moral hazard; cancellation of insurance D) adverse selection; limits on the amount of insurance
In Figure 13-2 above, suppose that the Fed maintains a constant nominal money supply, commodity prices are fixed, and that commodity demand is unstable ranging from IS0 to IS1. Equilibrium Y would then range from
A) A0 to A1. B) B0 to B1. C) C0 to C1. D) Insufficient information.
Workers usually negotiate compensation in terms of the nominal wage because wage agreements are based on expected price levels
a. True b. False Indicate whether the statement is true or false