At one unit of output AVC is
A. zero.
B. less than marginal cost.
C. infinite.
D. equal to marginal cost.
Answer: D
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In the specific factor model, the effect of an increase in the productivity of labor in the production of food will cause a(an) ________ in the quantity of labor used to produce cloth, a(an) ________ in the quantity of labor used to produce food and
a(an) ________ in the wage rate. A) decrease; increase; increase B) increase; decrease; increase C) increase; decrease; decrease D) decrease; increase; no change E) increase; increase; no change
There is virtual consensus on the part of channel analysts that the sociocultural environment.
Assume that the total utilities for the fifth and sixth units of a good consumed are 83 and 97, respectively. The marginal utility for the sixth unit is:
a. -14 b. 14 c. 83 d. 97
If the real interest rate is 4 percent and the inflation rate is 9 percent, then the nominal interest rate equals:
A. 13 percent. B. 4 percent. C. 9 percent. D. 36 percent.