If the marginal factor cost is greater than the marginal revenue product of a resource, the producer can increase profits by laying off some units of the resource
a. True
b. False
Indicate whether the statement is true or false
True
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Immediately following the Revolution, in the 1780s,:
a. indigo was the most important U.S. export (in terms of dollar value). b. Spain placed severe restrictions on trade between its colonies and the U.S. c. the U.S. became the main provider of shipping services for the French and West Indies. d. Great Britain eliminated tariffs on rice and tobacco.
Generally, economists agree that the economic outlook for the U.S. is seriously challenged
a. True b. False Indicate whether the statement is true or false
Residents of Hong Kong are able to find restaurants that advertise a dish that contains grizzly bear paws. Since it is unlikely that grizzly bear paws are purchased from a private producer of animal paws, we can likely conclude that
a. international laws making it illegal to sell grizzly bear paws are likely to be very effective at eliminating these offerings at Hong Kong restaurants. b. higher penalties for poaching grizzly bears will prevent poachers from killing. c. there are likely to be very few grizzly bear poachers. d. allowing individuals to own and raise grizzly bears for meat would likely reduce the threat of extinction to grizzly bear populations.
Suppose the government decides that every family should own its own home. To bring this about, the government decides to subsidize the home-construction industry by giving the home-construction companies $10,000 for every house that they build. As a result of this,
A) the supply curve of new houses would shift leftward, since it now costs $10,000 more for builders to produce a house. B) the demand curve for new houses would shift rightward, since now every family would want to buy a house. C) the demand curve for new houses would shift leftward. D) the supply curve of new houses would shift rightward, since builders would be willing to produce and sell more houses at each given price. E) c and d