If the MPC = 1, the spending multiplier is:
a. infinite.
b. zero.
c. 10.
d. 100.
e. 1.
a
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At the Punjab Bakery, two workers can decorate 14 cakes in an hour and three workers can decorate 18 cakes in an hour. The marginal product of the third worker is
A) 18 cakes, and the average product for three workers is 6 cakes. B) 9 cakes and is equal to the average product. C) 4 cakes, and the average product for three workers is 6 cakes. D) 32 cakes, and the average product for three workers is 9 cakes. E) 6 cakes, and the average product for three workers is also 6 cakes.
Which of the following statements is false?
A) To an economist, the resource land includes natural resources such as minerals, forests, water and unimproved land. B) To an economist, the resource capital consists of unproduced goods that can be turned into produced goods. C) To an economist, the resource labor consists of the physical and mental talents people contribute to the production process. D) To an economist, the resource entrepreneurship refers to a particular talent that some people have for organizing the resources of land, labor, and capital to produce goods, seek new business opportunities, and develop new ways of doing things.
If the annual interest rate is 0 percent, the present value of receiving $210 in the next year is:
A. $200. B. $201. C. $221. D. $210.
Consider the following:
(i) Consider an uncrowded highway that has limited access. Is this good nonrivalrous, nonexcludable, or both? Explain. (ii) Consider a major city's downtown streets during rush hour. Is this good nonrivalrous, nonexcludable, or both? Explain.