The supply curve is positively sloped because
a. profit levels always rise with output
b. MC rises as Q rises, so firms must charge a higher P as Q increases
c. as Q increases, TC rises proportionately faster thanQ, so price must rise with output
d. none of the above
e. both b. and c. are correct
e. both b. and c. are correct
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The Trend Projection approach to forecasting is represented by
A) time-series regressions. B) exponential smoothing. C) opinion polls. D) All of the above
The net present value of $1,000 received in the future would
a. decline if the $1,000 were received sooner. b. increase if the delivery date for the $1,000 were set farther into the future. c. decrease if the interest rate fell. d. decrease if the interest rate rose.
In Alpha the lowest 20 percent of families receive approximately what percentage of income? (See Figure 33.1)
A. 5 percent. B. 20 percent. C. 10 percent. D. 80 percent.
Consider the current peso/dollar exchange rate is 100 pesos per dollar and the current inflation rate in Mexico and the U.S. is 3 percent in each country. Assuming purchasing power parity, what will the exchange rate be if the inflation rate increases to 5 percent in Mexico and falls to 2 percent in the U.S.?
What will be an ideal response?