Refer to the graph below. It shows the total product (TP) curve. At which point does diminishing marginal returns set in?
A. Point a
B. Point b
C. Point c
D. Point d
B. Point b
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Anthony's Accountants is the only employer of accountants in the island of Fairisle. The table gives the demand and supply of accountants on Fairisle. The marginal cost of hiring a sixth accountant is ________ an hour
A) $20 B) $15 C) $25 D) $45
Which of the following interest rates will be least affected by a shift in monetary policy that alters the money supply?
a. a three-month certificate of deposit b. interest on checking accounts c. a one-year bank loan d. a thirty-year home mortgage
Suppose that garbage collectors and landscaping workers have no unions. Now suppose that garbage collectors form unions. What does this do to the labor supply and wages of landscaping workers?
a. Both labor supply and wages increase. b. Labor supply increases, and wages decrease. c. Labor supply decreases, and wages increase. d. Both labor supply and wages increase.
If the multiplier effect did not exist, the aggregate demand curve would:
A. be horizontal. B. be flatter. C. be steeper. D. not exist.