Perry should specialize in the production of
A. both goods.
B. poems.
C. novels.
D. neither good.
Ans: B. poems.
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Define the nominal wage rate and the real wage rate. Can the nominal wage rate increase faster than the real wage rate?
What will be an ideal response?
Tobin's q is equal to ________
A) the market value of a firm times the replacement cost of installed capital B) the market value of a firm plus the replacement cost of installed capital C) the market value of a firm divided by the replacement cost of installed capital D) the market value of a firm minus the replacement cost of installed capital
Use the above table. Assuming constant opportunity costs, the opportunity cost of producing cookies in country Alpha is ________, and the opportunity cost of producing cookies in country Beta is ________
A) 0.33 ton of coffee; 2 tons of coffee B) 3 tons of coffee; 0.5 ton of coffee C) 0.375 ton of cookies; 2.25 tons of coffee D) 2.67 tons of coffee; 0.44 ton of cookies
Appendix: The principal advantage of an open bidding system for allocating telecommunications spectrum licenses was
a. the pooling of asymmetric information by the bidders b. the reconfiguring of cell phone license areas c. the substitute value of adjacent service areas d. reduced cost