If the inflation rate in an economy is 5 percent and the income earned by workers increases by 5 percent, then _____
a. nominal income declines and real income increases
b. both nominal income and real income increase by 5 percent
c. nominal income increases and real income declines
d. both nominal income and real income decrease by 5 percent
e. nominal income increases by 5 percent and real income is unchanged
e
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The table above shows the short-run product schedule for Virginia's Tee-Shirts. What is the marginal product associated with the hiring the fifth worker?
A) 30 shirts B) 50 shirts C) 235 shirts D) 250 shirts
One way to assure that poor people will have a plentiful supply of affordable housing available to them is by imposing rent ceilings
Indicate whether the statement is true or false
An increase in supply could be caused by a(n)
a. increase in price b. government-imposed price ceiling c. decrease in resource prices d. decrease in consumer incomes e. unfavorable shift in tastes and preferences
If the price of a good falls, the marginal utility per dollar spent on that good
a. also falls b. stays the same c. rises d. will rise or fall, depending on the consumer e. remains unchanged, provided the consumer buys no more of the good