According to the circular-flow diagram, if Denny is the owner of a landscaping business and he just received $50 for mowing Mrs. Pendleton's lawn,
a. the $50 represents a cost of production for Denny's firm.
b. the $50 represents wages, rent, and profit to Denny's firm.
c. Denny acts as a firm who interacted in the markets for factors of production with Mrs. Pendleton.
d. Denny acts as a firm who interacted in the markets for goods and services with Mrs. Pendleton.
d
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Which monetary policy rule needs a stable demand for money to work well?
A) inflation targeting rule B) nominal GDP targeting rule C) k-percent rule D) discretionary monetary policy E) monetary base instrument rule
Which of the following variables do you need to know to calculate marginal cost?
i. change in total cost ii. marginal product of labor iii. change in quantity of labor used iv. change in output A) i and ii B) i and iv C) ii and iv D) i, iii, and iv E) Only ii
The linear stages theory of economic growth fails to recognize that increased investment is
a. both a necessary and a sufficient condition. b. a necessary but not a sufficient condition. c. a sufficient but not a necessary condition. d. neither a necessary nor a sufficient condition.
In economic analysis, air pollution, water pollution, and scenery destruction are considered to be
A) externalities. B) internalities. C) private costs. D) marginal benefits.