An increase in the marginal cost arising from a more complex specialized investment environment will cause the optimal contract length to:
A. increase.
B. decrease.
C. either increase or decrease.
D. remain constant.
Answer: B
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Economic costs of an input include
A) only implicit costs. B) only explicit costs. C) both implicit and explicit costs. D) whatever management wishes to report to the shareholders.
Discuss what factors could cause a real depreciation
What will be an ideal response?
When a worker has a rare skill or talent, supply in that labor market:
A. is low. B. is high. C. depends on the other factors of production. D. depends on the output produced.
Refer to the given table. Suppose the columns in this table reflect demand and supply. At a price of $50:Price Per UnitColumn A Units Per YearColumn B Units Per Year$2010040$309550$408060$506570$605080
A. there will be an excess supply of 70 units. B. there will be an excess supply of 5 units. C. there will be an excess demand of 5 units. D. the market will be in equilibrium.