Employing an additional 1 billion hours of labor increases real GDP by $12 billion. Employing another 1 billion hours beyond the first 1 billion increases real GDP by $11 billion
Hence we can conclude from this information that as employment increases, real GDP A) increases at an increasing rate.
B) decreases at an increasing rate.
C) decreases at a decreasing rate.
D) increases at a decreasing rate.
E) falls from $12 billion to $11 billion as more workers are hired.
D
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As a firm expands its output, cost per unit of output (average cost) decreases and then increases. Average cost and output have
A) a relationship with a minimum. B) a relationship with a maximum. C) no relationship. D) a linear positive relationship.
Determine whether each of the following outputs is considered an intermediate good, a final good, or neither for purposes of calculating GDP in the current year
a. New tires put on a new Corvette at Big O Tire store b. The net sales price of a home built in 1990 when it is resold in 1997 c. The commission earned by a stock broker on the sale of stock d. The net price that is paid for 1000 shares of stock in Dell
If a single supplier of labor, such as a union, were supplying labor to a single monopsonistic employer, this is referred to as a(n)
A) bilateral monopoly. B) trilateral monopoly. C) total monopsony. D) collective monopoly.
Which of the following events would increase the price elasticity of demand for Chicago Bears tickets that sell at a price of $20?
a. b and c. b. The Bears are having a successful season. c. The visiting team is having a successful season. d. The Bears have been defeated in their previous seven games. e. The weather on game day will be warm.