Refer to the information provided in Figure 7.9 below to answer the question(s) that follow.
Figure 7.9Refer to Figure 7.9. The firm's isocost line could shift from AB to CD if
A. the price of capital decreased.
B. the firm's total expenditures increased by 50%.
C. the price of capital and labor each decreased by 33.3%.
D. either B or C
Answer: D
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A landlord rents his rat-infested apartment for $700 per month for a total of twelve months this year. What happens to GDP?
A) It increases by $8,400. B) It increases by the difference between the rent charged and the price of any maintenance and repairs. C) It decreases by $8,400. D) Nothing.
Which of the following groups does not support the special interests of the elderly?
a. the elderly themselves b. the relatives of the elderly c. the housing industry d. doctors and nursing home operators e. those under 65 who are concerned about their future benefits
A decrease in the level of capital inside a nation would cause the:
A. aggregate demand curve to shift to the right. B. long-run aggregate supply curve to shift to the left. C. long-run aggregate supply curve to shift to the right. D. short-run aggregate supply curve to shift to the right.
If the income elasticity of a good is ?1.8, this means this good is a(n):
A. luxury good. B. substitute good. C. complementary good. D. inferior good.