Refer to Figure 3-1. If the product represented is a normal good, an increase in income would be represented by a movement from
A) A to B. B) B to A. C) D1 to D2. D) D2 to D1.
C
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Hyperinflation is a period of time when
a. people "hoard" their money. b. the price level explodes and the money supply decreases. c. both the price level and taxes explode. d. inflation is greater than 1,000%. e. the price level rises faster than the money supply.
When Joshua's income increases, he purchases more prime-rib dinners than he did before his income increased. For Joshua, prime-rib dinners are a(n)
a. normal good. b. inferior good. c. optimal good. d. Giffen good.
Technical and organizational change
A) typically reduces prices by increasing the supply of the product, ceteris paribus. B) typically reduces prices by decreasing the demand for the product, ceteris paribus. C) typically increases prices by increasing the demand for the product, ceteris paribus. D) typically increases prices by decreasing the supply for the product, ceteris paribus.
Which of the following statements is true?
A) Firm-specific human capital adds to productivity in only one firm. B) Firm-specific human capital is equally productive in all industries in an economy. C) Firm-specific human capital is equally productive in all firms in a particular industry. D) Industry-specific human capital is equally productive in all industries in an economy.