The marginal cost curve
A. Is the long-run supply curve for a competitive firm at prices below the AVC curve.
B. Is not affected by changes in the price of variable inputs.
C. Is the short-run supply curve for a competitive firm at prices above the AVC curve.
D. Slopes downward to the right as output increases.
Answer: C
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When industrial activity increases,
A) GDP decreases because of pollution. B) pollution does not necessarily increase. C) health and life expectancy decrease. D) and real GDP increases, it is the case that in all nations fewer resources are devoted to protecting the environment. E) the increase in real GDP is partially offset by the increase in pollution.
If an individual moves money from a money market deposit account to currency
A) M1 increases and M2 stays the same. B) M1 stays the same and M2 increases. C) M1 stays the same and M2 stays the same. D) M1 increases and M2 decreases.
In the ten year period 1981-1990, 1202 commercial banks were closed, with a peak of 206 failures in 1989. This rate of failures was approximately ________ times greater than that in the period from 1934 to 1980
A) two B) three C) five D) ten
Which of the following shifts long-run aggregate supply left?
a. a decrease in either natural resources or the human capital stock. b. a decrease in the human capital stock, but not natural resources. c. a decrease in natural resources, but not the human capital stock. d. neither a decrease in natural resources nor the human capital stock.