The degree of a factor's specificity is inversely related to
A) the mobility of the factor, with more mobile factors having less specificity.
B) the amount of time required to redeploy the factor to a different industry.
C) the cost of the factor as a proportion of the long-run total cost of production.
D) technology differences between two countries, with a less advanced technology resulting in less factor specificity.
E) factor quality, with lower quality factors having a lower level of specificity.
A
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If aggregate demand just decreased, which of the following may have caused the decrease?
A) a decrease in the price level B) a decrease in imports C) a decrease in the interest rate D) a decrease in exports
Harold owns a cranberry bog in which he grows cranberries. Harold's farm is a competitive, profit-maximizing firm. As such, Harold much decide (i) how many cranberries to sell. (ii) what price to charge for his cranberries. (iii) what wages to pay his workers. (iv) how many workers to hire
a. (i) only b. (ii) and (iii) only c. (i) and (iv) only d. (i), (ii), (iii), and (iv)
The International Fisher Effect links interest rates and exchange rates.
a. true b. false
After the imposition of the quota, the quantity demanded of TVs is ________.
A. 40,000 B. 100,000 C. 20,000 D. 80,000