In the Solow model, if k = 8, y = 20, and s = 0.2, what is c?
A. 20
B. 12
C. 16
D. 24
Answer: C
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Money is used in an economy because: a. goods and services are produced in accordance with demand
b. the exchange of goods for money is less troublesome than barter. c. some goods or services are difficult to provide because of the scarcity of resources. d. some merchants may offer goods for a select clientele.
Which of the following is NOT a reason why the United States is able to produce such high levels of GDP?
A.) Abundant factors of production. B.) Labor-intensive production process. C.) High levels of investment in human capital. D.) High quality of capital.
Refer to the data provided in Table 10.3 below to answer the following question(s).
Table 10.3 
Refer to Table 10.3. Diminishing returns to labor start with the ________ worker.
A. second B. third C. fourth D. fifth
Refer to the diagram, representing Slippery Slope Oil Company. A $5 decrease in the user cost would:
A. decrease the optimal quantity extracted in the present.
B. increase the optimal quantity extracted in the present.
C. not affect the optimal quantity extracted in the present.
D. reduce extraction costs in the present.