The potential output of a country would increase as a result of each of the following, except:

A. technological innovation that increases labor productivity.
B. depreciation of the capital stock.
C. an increase in population.
D. an increase in capital per worker.


Answer: B

Economics

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A. is the sum of a firm's marginal products. B. is the ratio of a firm's marginal products. C. is the product of a firm's marginal products. D. is the difference between a firm's marginal products.

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The main difference between a monopsonist and a competitive buyer of labor is that

A) the monopsonist can hire as many workers as it wants at the going wage while the competitive firm must raise wages to hire additional workers. B) the competitive firm can hire as many workers as it wants at the going wage while the monopsonist can hire more workers at lower wages. C) the competitor can hire as many workers as it wants at the going wage while the monopsonist must raise wages to hire additional workers. D) the monopsonist can force wages down and still hire as many workers as it wants while the competitive firm must increase the wage rate to hire additional workers.

Economics

Inflation target refers to the commitment of central bankers to keep inflation below a certain rate for the next year or two

a. True b. False Indicate whether the statement is true or false

Economics

If the multiplier is 5, the MPC is

A. .1. B. .2. C. .5. D. .8.

Economics