If the wage rate rises, labor's share in the total costs of a production process
a. will increase.
b. will decrease.
c. may increase or decrease depending on the elasticity of demand for the product.
d. may increase or decrease depending on the ease of substitution of other inputs for labor.
d
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The cyclical unemployment rate is positive when
A. frictional unemployment equals structural unemployment. B. there is an expansionary gap. C. the output gap equals zero. D. there is a recessionary gap.
What is moral hazard?
What will be an ideal response?
It can be argued that Thomas Malthus' An Essay on the Principle of Population statement that population growth will always outstrip food production has been discredited due to
A) increase in the world-wide farming population. B) less world-wide consumption of grains. C) improvement in technology of food production. D) increase in food processing facilities.
Your cellular phone contract is due for renewal and the company offers you a new free phone. Since you want to use your new phone, you decide to recycle your old phone. Your action
a. Creates wealth by moving the phone from lower value use to higher value use b. Destroys wealth since you lose your phone c. Creates wealth by making you feel richer d. All of the above