Suppose the downward sloping labor demand curve shifts rightward in a labor market with a single employer (monopsony). What happens to the marginal expenditure curve?
A) Shifts left
B) Shifts right
C) Remains the same
D) We do not have enough information to answer this question.
C
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Adam Smith’s discussion of the production in a pin factory illustrates the law of comparative advantage.
Answer the following statement true (T) or false (F)
The market for corporate takeovers
A) helps disciplines the behavior of CEOs. B) forces CEOs to focus on market share. C) had nothing to do with the monitoring of CEO behavior. D) is not efficient.
Price elasticity of demand is a numerical measure of how much quantity demanded rises as price falls or quantity demanded falls as price rises
a. True b. False Indicate whether the statement is true or false
The current surplus of the Social Security system is expected to become a deficit sometime around 2018 because the
a. payroll tax rate is scheduled to decline at that time. b. number of workers relative to the number of Social Security recipients will decline as the baby boom generation moves into the retirement phase of life. c. stock market is not expected to perform nearly as well during the next two decades as was the case during the 1980s and 1990s. d. growth rate of the U.S. economy is expected to slow during the next two decades.