Foreign investment can be economically beneficial for all of the following reasons except:
A. increases the GDP of the investing country by providing it with ways to earn higher returns on its capital.
B. increases the GDP of the host country by giving it access to additional resources.
C. makes the world a more efficient place by moving capital from places with low returns to places with high returns.
D. it always leads to a higher interest rate.
Answer: D
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In the above figure, which of the graphs demonstrates a curve with a decreasing slope, that is, a slope getting smaller in magnitude as x increases?
A) Figure A B) Figure B C) Figure C D) Figure D
Unemployment rates ________________ over time.
a. increase b. fluctuate c. decrease d. stabilize
In a two-player simultaneous game, if player A has a dominant strategy and player B does not, player B will
A) employ a mixed strategy B) choose his best strategy assuming that player A plays her dominant strategy C) not achieve a Nash equilibrium D) assume that player A does not choose her dominant strategy
A constant-cost industry is an industry in which
A) average costs fall as the industry expands output. B) average costs rise as the industry expands output. C) average costs remain constant as the industry expands output. D) input prices rise at a constant rate as firms in the industry use more inputs.