Assume that an economy is in equilibrium when technological progress causes an increase in total factor productivity
Once the economy has adjusted to its new equilibrium, and assuming that the supplies of capital and labor remain unchanged, which of the following has increased? A) the real wage
B) the share of capital income in national income
C) the share of labor income in national income
D) all of the above
E) none of the above
A
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Under second degree price discrimination, the average price per unit paid by high demand consumers is not equal to marginal willingness to pay for one additional unit.
Answer the following statement true (T) or false (F)
The Federal Reserve Board of Governors
A. serves at the pleasure of the president similar to other cabinet positions. B. reports directly to Congress and is controlled by Congress. C. consists of 12 members, one from each district bank. D. is structurally independent of the executive and legislative branches of the federal government.
The secondary effects of an economic action refer to the
What will be an ideal response?
In order to promote growth, the poorest countries-in contrast to the middle-level and rich countries-need most to:
A. increase their capital stock. B. invest in human capital. C. improve their infrastructure. D. improve their legal and political environments.