A rational decision maker always chooses the option for which marginal benefit is:
A. less than marginal cost.
B. equal to marginal cost.
C. unrelated to marginal cost.
D. more than marginal cost.
Answer: D
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Partnerships whose members have _____ can face difficult problems operating and reaching decisions
a. diverse functions b. specialized functions c. multiple functions d. limited functions
Assume the required reserve ratio (RRR) is 10 percent. If the Fed purchases a $5,000 bond from a bond dealer who then deposits the $5,000 in a HSBC Bank account, what has happened to the money supply?
a. It has decreased by $5,000. b. It has increased by $5,000. c. It has decreased by $4,500. d. It has increased by $4,500. e. There has been no change in the money supply.
Total producer surplus in a market is measured as the
A) area bounded above the market clearing price and beneath the market demand curve. B) area bounded below the market clearing price and above the market supply curve. C) vertical distance from the horizontal (quantity) axis to the market clearing price. D) horizontal distance from the vertical (price) axis to the equilibrium quantity.
Convergence theory seems to fit the experiences of China and India since 1996.
Answer the following statement true (T) or false (F)