A firm that wishes to maximize profits will continue to purchase capital goods until the
A) nominal rental price of capital = MPK.
B) real rental price of capital = MPK.
C) nominal rental price of capital = the real rental price of capital.
D) nominal rental price of capital = the price level.
B
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Which of the following headlines would be more closely related to what macroeconomists study than what microeconomists study?
A) The United Auto Workers sign a contract raising wages and benefits 7% over the next 3 years. B) Real GDP grows by 2.3% in the second quarter. C) Avocado prices rise due to a late frost in California. D) Airlines raise ticket prices in response to rising fuel costs.
Describe intellectual property rights. What agreements have been reached regarding their protection? What are the benefits and the costs of protecting intellectual property rights?
What will be an ideal response?
If a country chooses to have a monetary policy oriented toward domestic goals and the freedom of international capital movements, then
A) it can have a fixed exchange rate. B) it cannot have a fixed exchange rate. C) it cannot balance its current account. D) it cannot have a fiscal policy oriented toward domestic goals. E) it cannot control money supply growth.
Economists at the U.S. Department of Justice help enforce the nation's antitrust laws
a. True b. False Indicate whether the statement is true or false