When Firm X doubled its output, it was found that its cost per unit declined by 10 percent. It can be concluded that
A. the firm was facing external scale diseconomies.
B. the firm was operating on the inelastic portion of the demand curve.
C. the firm was enjoying internal scale economies.
D. the marginal cost of production at the initial output level was constant.
Answer: C
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A central bank's purchase of securities made by writing checks on itself will:
A. have no impact at all on the balance sheet. B. only change the composition of its assets. C. decrease the size of its balance sheet. D. increase the size of their balance sheet.
Researchers estimate QALYs in a number of different ways. One popular approach is called:
a. the probability approach. b. the standard measure of well-being. c. the utility of life approach. d. the standard gamble. e. the QoL approach.
The "infant industry" argument for protectionism says that new or small industries in a country are vulnerable and therefore should be protected with trade barriers until they have had an opportunity to grow large enough to compete effectively with their foreign rivals.
Answer the following statement true (T) or false (F)
Since 1925, the longest expansion in the United States lasted:
A. 21 months. B. 43 months. C. 60 months. D. 120 months.