When there is an inflationary gap:
a. Unemployment exceeds the natural rate of unemployment.
b. Unemployment equals the natural rate of unemployment
c. Unemployment is less than the natural rate of unemployment.
d. Any of the above is possible.
c
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The shape of the productivity curve reflects the
A) effects of capital accumulation. B) effects of technological progress. C) change in labor productivity as human capital increases. D) law of diminishing marginal returns. E) effects of population growth.
A permanent decrease in demand for convenience store services is likely to cause which of the following in the long run?
a. an economic loss for each firm b. a higher price for each firm's output c. fewer firms in the industry d. more firms in the industry e. economic profit for each firm
Someone who is without work but is not looking for work is included in the Bureau of Labor Statistics' "unemployed" category
a. True b. False Indicate whether the statement is true or false
Economic profit is the difference between
A. accounting profit and explicit costs. B. total revenue and the opportunity cost of all of the resources used in production. C. total revenue and the implicit costs of using owner-supplied resources. D. accounting profit and the opportunity cost of the market-supplied resources used by the firm.