An economy is producing two goods, ice cream and cookies, and is currently operating efficiently. This economy can produce more cookies if:
a. it increases the price of ice cream
b. it increases the price of cookies.
c. more of the economy's resources become idle.
d. it produces less ice cream.
d
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During the antebellum period, most international payments were made by
(a) shipping specie. (b) bills of exchange. (c) credit extended by private banks in the U.S. (d) all of the above.
If we assume competitive labor markets, the supply curve of labor when the firm is a monopoly is
A) upward sloping. B) vertical. C) horizontal. D) downward sloping.
At a price of $10, quantity demanded is 30 units. When the price rises to $11, quantity demanded is 24 units. What is the absolute price elasticity of demand?
A. 0.43 B. 0.5 C. 2.33 D. 6.0
As a curve approaches a maximum point, the slope will
A) be positive, then negative after the maximum point. B) be negative, then positive after the maximum point. C) remain constant on either side of the maximum point. D) increase before and after the maximum point.