If, in the short run, the level of output is zero, which of the following statement is TRUE?
A. Total cost and total fixed cost graphs will begin at the origin.
B. Total variable cost is zero but total cost equals total fixed cost, and both of the latter exceed zero.
C. Total fixed cost will also be zero at first but will rise once output rises.
D. none of these
Answer: B
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What type of loan led the wave of bank lending in the 1970s and 1980s?
A) consumer loan B) commercial mortgage C) loans to state and local governments D) commercial paper
During the 1970s, real shocks to the U.S. economy caused:
a. an increase in both aggregate demand and aggregate supply. b. an increase in both the price level and the unemployment rate. c. a leftward shift of the Phillips curve. d. a decline in inflation but higher unemployment. e. a decline in both the price level and the unemployment rate.
For a country producing two goods, the opportunity cost of one good will be the inverse of the opportunity cost of the other good
a. True b. False Indicate whether the statement is true or false
When a good is put onto the global market at a price below the cost to produce it, this is known as
A) the infant-industry argument. B) dumping. C) a quota. D) protection of domestic jobs.