To get the first order conditions in a profit maximization problem, we must ________
A) set the profit function equal to zero and solve for the production function
B) set the partial derivatives of the production function equal to zero and solve for the price
C) set the partial derivative of the profit function equal to zero and solve for the marginal products
D) set the production function equal to zero and solve for the marginal products
E) none of the above
C
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During business contractions, the growth rate of Solow residuals is ________
A) near or below zero B) well above zero C) approaching infinity D) impossible to calculate
If we are interested in knowing whether a poor country is improving economically, we want to know not only what the economic growth rate is, but also
A) whether the economic growth rate is faster than other nations' growth rates. B) whether government spending is growing at the same rate. C) whether the economic growth rate is greater than last year's rate. D) whether the lowest income groups are benefiting from the growth.
If a country has a higher level of productivity than another, then it also has a higher level of real GDP
a. True b. False Indicate whether the statement is true or false
If demand is elastic, and the government decides to raise the tax on new cars, the price of cars will increase by a ________ amount and car buyers will bear a ________ share of the tax.
A. large; large B. large; small C. small; large D. small; small