Potential output in an economy decreases as the supply of labor decreases or the capital stock increases
Indicate whether the statement is true or false
FALSE
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A copyright is a source of:
A) legal market power. B) natural market power. C) regulated market power. D) competitive market power.
Increases in capital per hour worked cannot sustain high rates of economic growth unless accompanied by technological change
Indicate whether the statement is true or false
Brazil and Russia both depend on capital equipment as their primary exports
Indicate whether the statement is true or false
When contemplating the purchase of a resource, the pure monopsonist should do which of the following to maximize profit?
A) Purchase enough to make the marginal expenditure equal to the marginal revenue product. B) Purchase enough to make the average expenditure equal to the marginal revenue product. C) Pay a wage equal to the value of MRP at the intersection of MRP and ME curves. D) Pay a wage equal to the value of MRP at the intersection of AE and MRP curves.