The economy can produce 15X and 15Y, 10X and 20Y, 5X and 25Y, or 0X and 30Y. It follows that opportunity cost of 1X is ___Y
A) 4.0
B) 5.0
C) 2.5
D) 1.0
E) none of the above
D
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When Jack's income increases by $1,000, he spends an additional $850 dollars. This implies that his marginal propensity to consume is 0.85
Indicate whether the statement is true or false
Figure 10-3
?
In Figure 10-3, the perfectly competitive firm is realizing a
A. loss equal to ABCE. B. profit equal to ABCE. C. profit equal to ABDF. D. loss equal to ABDF.
An economy with an expansionary gap will, in the absence of stabilization policy, eventually experience a(n) ________ in the inflation rate, leading to a(n) ________ in output.
A. decrease; increase B. increase; increase C. decrease; decrease D. increase; decrease
Which of the following best describes a situation where research is considered relatively fertile?
A) research that translates into many new products B) research that costs the firms relatively little money C) research that cannot be easily copied by other firms D) all of the above E) none of the above