When the marginal costs of firms in perfect competition increases, the short-run supply curve of the industry will shift to the left
a. True
b. False
Indicate whether the statement is true or false
True
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The classical economists believed in all the following, EXCEPT
A. the crude version of the quantity theory of money. B. laissez faire. C. the sophisticated version of the quantity theory of money. D. Say's Law.
Buffalo in the United States almost became extinct while cattle, an animal that provides similar products, never has been close to extinction. The difference is due to
A) the greater marginal value of a head of cattle relative to buffalo, leading to over-hunting of buffalo. B) the greater marginal value of a buffalo relative to a steer, leading to the overharvesting of buffalo. C) cattle existing in Europe also while buffalo were specific to North America. D) the use of private property rights on cattle and common property rights on buffalo.
Refer to the data. Real GDP in year 3 is:
Use the following table for a hypothetical single-product economy.
A. $100.
B. $450.
C. $225.
D. $150.
Which of the following terms identifies something that macroeconomists would study but that microeconomists would NOT?
A) incentives B) resources C) rationality D) aggregates