Foreign aid can take the form of
a. only money, capital goods, or technical assistance
b. only capital goods, technical assistance, or food
c. money, capital goods, technical assistance, or food
d. only money, technical assistance, or food
e. only technical assistance or food
C
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Second-degree price discrimination generally takes the form of
a. special prices for students and seniors. b. membership clubs. c. quantity discounts. d. "extras" like free delivery and free customer service.
If total costs are $18,000 for the year, and the firm has fixed costs of $12,000, what is the level of the firm's variable costs?
What will be an ideal response?
Assume that the government increases spending and finances the expenditures by borrowing in the domestic capital markets. If the nation has highly mobile international capital markets and a flexible exchange rate system, what happens to the real risk-free interest rate and GDP Price Index in the context of the Three-Sector-Model?
a. The real risk-free interest rate rises, and GDP Price Index rises. b. There is not enough information to determine what happens to these two macroeconomic variables. c. The real risk-free interest rate and GDP Price Index remain the same. d. The real risk-free interest rate falls, and GDP Price Index falls. e. The real risk-free interest rate rises, and GDP Price Index falls.
Explain the income effect and the substitution effect due to an increase in the wage rate
What will be an ideal response?