A leftward shift of a consumer's budget line to a position parallel with the original one could indicate that the:
A. Price of one product has decreased in relation to the other
B. Prices of both products have decreased in the same proportion
C. Consumer's money income has increased and the prices of both products have also increased but proportionately less
D. Consumer's money income has increased but the prices of both products have increased proportionately more
D. Consumer's money income has increased but the prices of both products have increased proportionately more
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Which of the following is most frequently used when the Fed is attempting to adjust the money supply?
a. Changing reserve requirements b. Open market operations c. Changing the discount rate d. Moral suasion
In an imperfectly competitive labor market, the firm is faced with a(n) ________ MPP curve and a(n) ________ MR curve
A) downward sloping; upward sloping B) downward sloping; downward sloping C) upward sloping; downward sloping D) downward sloping; horizontal
A firm pays Pam $40 per hour to assemble personal computers. Each day, Pam can assemble 4 computers if she works 1 hour, 7 computers if she works 2 hours, 9 computers if she works 3 hours, and 10 computers if she works 4 hours. Pam cannot work more than 4 hours day. Each computer consists of a motherboard, a hard drive, a case, a monitor, a keyboard, and a mouse. The total cost of these parts is $600 per computer. If the firm sells each computer for $625, then how many hours a day should the firm employ Pam to maximize its net benefit from her employment?
A. 1 hour B. 3 hours C. 2 hours D. 4 hours
A firm that experiences economies of scale has a ______ average cost curve.
A. positively-sloped B. negatively-sloped C. U-shaped D. flat