For a normal good, such as steak,
a. quantity demanded increases as its price falls.
b. the income and substitution effects work in opposite directions
c. the income effect is negative
d. the income effect reinforces the substitution effect
e. the supply curve is vertical
D
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In the contemporary United States, labor productivity has been growing at approximately
a. 1.5 percent per year b. 2.0 percent per year. c. 2.6 percent per year. d. 3.9 percent per year.
If the supply for a product increases, but the demand for the product stays the same, which of the following would happen?
a. There will be a scarcity of the product. b. There will be an equilibrium of the product. c. There will be a shortage of the product. d. There will be a surplus of the product.
If marginal cost is:
A. falling, then average total cost must also be falling. B. rising, then average total cost must also be rising. C. rising, then average total cost could be either falling or rising. D. falling, then average total cost could be either falling or rising.
The marginal product of labor is defined as
A) the additional sales revenue that results when one more worker is hired. B) the additional output that results when one more worker is hired, holding all other resources constant. C) the additional number of workers required to produce one more unit of output. D) the cost of hiring one more worker.