Refer to the figure above. What does the region ABDC indicate?
A) Economic profit
B) Loss incurred by the producer
C) Consumer surplus
D) Deadweight loss
A
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According to new growth theory, the accumulation of ________ capital is subject to diminishing returns at the ________ level, but not at the level of the economy as a whole
A) technological; personal B) knowledge; firm C) physical; production D) physical; firm
Unionization provides ____ in given occupations, and as a result, wage rates in these occupations have a tendency to ____
a. barriers to entry; decrease b. barriers to entry; increase c. ease of entry; decrease d. ease of entry; increase
When a nation first begins to trade with other countries and the nation becomes an importer of corn,
a. this is an indication that the world price of corn exceeds the nation's domestic price of corn in the absence of trade. b. this is an indication that the nation has a comparative advantage in producing corn. c. the nation's consumers of corn become better off and the nation's producers of corn become worse off. d. All of the above are correct.
A compensation structure that generates much higher pay rates for the top performers, while those whose productivity is only a little lower receive substantially less compensation is called
a. tournament pay. b. winner take all. c. dueling executives. d. competing differentials.