The law of diminishing returns implies that, with the quantity of capital fixed, as the use of labor rises
A) total product will fall eventually.
B) the marginal product of labor will fall eventually.
C) the total product of labor will fall below the marginal product of labor.
D) the production process will become technologically inefficient eventually.
B
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The largest major change in the U.S. labor force participation rate during the last few decades has been
A) the increase in the number of illegal immigrants in the United States. B) the decrease in the number of working women. C) the number of prisoners dropping out of the labor force. D) the increase in the number of working women.
Suppose an "emerging market" economy becomes attractive to foreign investors. What are the likely consequences for the economy's currency and, thus, the macroeconomy?
What will be an ideal response?
In calculating the unemployment rate, part-time workers are:
a. Treated the same as "discouraged" workers who are not actively seeking employment b. Counted as unemployed because they are not working full-time c. Counted as employed because they are receiving payment for work d. Used to determine the size of the labor force, but not the unemployment rate
In Table 17.3, the United States has 
A. an absolute and comparative advantage in both goods. B. an absolute and comparative advantage in lumber. C. an absolute and comparative advantage in cars. D. an absolute advantage but not a comparative advantage in lumber.