In the long run, if the prices of goods and services paid by consumers increase the long-run aggregate:
A. supply will increase.
B. supply will decrease.
C. supply will stay the same.
D. demand will increase.
C. supply will stay the same.
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Briefly describe the three key points managers must consider when using expert opinion, consumer surveys, test marketing, and price experiments in analyzing consumer behavior
What will be an ideal response?
An external cost, such as the cost generated by pollution, is
A) a cost paid by consumers of the product. B) a cost paid by producers of the product. C) a cost paid by a third party or by society at large. D) not a true opportunity cost of production.
Demand and supply are terms that refer to the behavior of people and firms as they interact in markets.
a. true b. false
The two key factors that cause labor productivity to increase over time are:
A. the quality of labor per hour worked the level of technology B. the quantity of capital per hour worked and the level of technology C. better environmental standards and stricter labor laws D. the decline in unionization and slacking of labor laws