Suppose that a worker in Country A can make either 10 iPods or 5 tablets each year. Country A has 100 workers. Suppose a worker in Country B can make either 2 iPods or 10 tablets each year. Country B has 200 workers. A bundle of goods that Country A could potentially make would be:
A. (500 iPods, 500 tablets).
B. (500 iPods, 400 tablets).
C. (500 iPods, 300 tablets).
D. (500 iPods, 200 tablets).
D. (500 iPods, 200 tablets).
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What is the profit-maximizing rule for a monopolist?
What will be an ideal response?
In a planned economy,
a. prices are used to coordinate economic activity. b. central planners set production targets and tell producers how to produce. c. high prices discourage use of the most scarce resources. d. central planners allow the price to determine distribution of a product.
Which development strategy involves shifting from production of raw materials to production of manufactured goods?
a. export-led growth b. first-mover advantage c. import substitution d. multiplier effect
Which of the following is a normative macroeconomics statement?
A) The central bank should increase the nation's money supply. B) The increase in the nation's money supply helped push the nation's unemployment rate down in the short run. C) Ford Motor Company's new advertising campaign ended up hurting General Motors' sales. D) The local government ought to spend more on recreational facilities.