On Naomi’s pig farm, Naomi hires all the labor used, grows all the grain fed to the pigs, and owns the barn. The costs used to calculate the total cost curve include
A. only the cost of labor.
B. only the cost of labor and the cost of grain, which is completely consumed in the period in which it is grown.
C. only the variable cost of growing grain.
D. the cost of labor, the cost of growing grain, and the opportunity cost of the barn.
Answer: D
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A. human capital. B. physical capital. C. research and development. D. the market.
According to Figure 6.1, the period from 1996 to 2011 is particularly remarkable for the slow growth of ________
A) productivity B) labor input C) output D) capital input
Assuming a decrease in money demand, then to keep interest rates constant the Fed must
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A) a + b = 1. B) a + b > 1. C) a + b < 1. D) Cannot be determined with the information given.