A falling interest rate ________ the number of investment projects having a positive profit rate, and thus ________ the amount of output that firms demand for themselves
A) increases, raises
B) increases, lowers
C) decreases, raises
D) decreases, lower
A
You might also like to view...
A firm's marginal revenue is
A) the change in total revenue that results from a one-unit increase in the quantity sold. B) total revenue minus total cost. C) the change in total revenue minus the change in total cost. D) the change in total revenue that results from an increase in the demand for the good or service. E) less than the market price for a perfectly competitive firm.
Which of the following theorems predicts that trade benefits the abundant factors of a country and harms the scarce factors?
A) The Stolper-Samuelson theorem. B) The Rybczynski theorem. C) The Heckscher-Ohlin theorem. D) None of the above.
The World Bank obtains the funds it lends by:
a. selling bonds on the international bond market. b. selling bonds to countries it has loaned funds to. c. collecting each country's annual membership fee or quota. d. levying a small tax on every foreign exchange conversion worldwide. e. depending on voluntary subsidies from member nations.
When employers pay an efficiency wage above the market equilibrium wage, this will likely result in
a. a surplus of labor. b. no unemployment. c. an increase in the number of people employed. d. an decrease in the quantity of labor supplied.