All of the payment to a factor of production will be economic rent when the factor of production has:
A) an infinitely inelastic supply curve.
B) an infinitely elastic supply curve.
C) a constant, unit elastic supply curve.
D) an infinitely inelastic demand curve.
A
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Which of the following is not correct regarding dumping?
a. In the country where products are dumped, consumer surplus grows as a result of the dumping. b. Dumping involves the selling of a product by foreign producers at a price lower than that in their own countries. c. Critics of dumping recommend applying a tariff as the correct antidumping measure. d. A major difficulty with dumping by firms in other countries is that it drives up prices to the domestic consumer. e. Predatory dumping is often aimed at driving domestic producers out of business.
Susan works 60 hours a week while Rachel works 20 hours because she is unable to find full-time work. Which of the following statements is true?
a. Susan is likely to work for an extra hour without a pay hike. b. Rachel is unlikely to give up another hour's leisure without a pay hike. c. Susan's opportunity cost of leisure is likely to be lower than Rachel's. d. Susan is unlikely to give up another hour's leisure without a pay hike.
Other things equal, the higher the deviations from purchasing power, the lesser will be the arbitrage opportunities
a. True b. False Indicate whether the statement is true or false
According to the Monetarist view, the impact of expansionary monetary policy will be:
A. the same in the long run as in the short run. B. the same regardless of whether the effects of the policy are anticipated or unanticipated. C. a higher price level (inflation). D. a decrease in short-run prices and an increase in long-run prices.