"Crowding out" investment in supply side economics refers to a situation in which groups of investors compete with each other, thereby driving up interest rates
Indicate whether the statement is true or false
F
You might also like to view...
When an economy faces diminishing returns
A) the slope of the per-worker production function becomes steeper as capital per hour worked increases. B) the per-worker production function shifts to the left. C) the slope of the per-worker production function becomes flatter as capital per hour worked increases. D) the per-worker production function shifts to the right.
In the Cournot model of oligopoly:
A. firms produce differentiated products and set their prices simultaneously. B. firms produce homogenous products and set their prices simultaneously. C. firms choose how much to produce simultaneously and the price clears the market given the total quantity produced. D. firms choose how much to produce and the price to charge simultaneously.
Answer the next question on the basis of the following information about the opportunity costs of two products-fish (F) and chicken (C)-in countries Singsong and Harmony. Assume that production occurs under conditions of constant costs and these are the only two nations in the world. Finally, the opportunity costs of fish in terms of chicken are: Singsong: 1F = 2C. Harmony: 1F = 4C If these two nations specialize based on comparative advantage, then
A. Singsong will produce chicken and Harmony will catch fish. B. Harmony will both produce chicken and catch fish. C. Singsong will both produce chicken and catch fish. D. Harmony will produce chicken and Singsong will catch fish.
One way to explain the convexity of isoquants is to say that
A) as labor increases and capital decreases, MPL rises while MPK falls. B) as labor increases and capital decreases, MPL falls while MPK rises. C) as labor increases and capital decreases, MPL and MPK both fall. D) as labor increases and capital decreases, MPL and MPK both rise.