Refer to the above table. How do we know that this is not a competitive firm?
A) The marginal physical product decreases as the amount of labor hired increases.
B) The marginal revenue changes as output changes.
C) The marginal revenue product decreases as the amount of labor increases.
D) Marginal physical product cannot be computed for competitive firms.
B
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The Lorenz curve shows
a. that income is unevenly distributed. b. that income is normally distributed. c. how income is distributed. d. that income is distributed according to talent and abilities.
A problem with the CPI is:
a. it has a quality bias and assumes product quality is constant over time. b. it accounts for more buying at discount stores. c. it under-estimates inflation. d. it assumes product quality that is too high.
Which of the following is not an example of a factor of production?
A. A forest. B. A computer program. C. A labor leader. D. Dollars.
The market for bonds is initially described by the supply of bonds - S0, and the demand for bonds - D0, with the equilibrium price and quantity being P0 and Q0. If the federal government were to offer larger tax breaks on the purchase of new equipment for businesses, all other factors constant, we would expect to see:
A. Bond supply curve to shift to S1 B. Bond demand curve to shift to D2 C. Bond demand curve to shift to D1 D. Bond supply curve to shift to S2