Recall the Application about the supply of shipping services to answer the following question(s).Recall the Application. As the price per ton of cargo drops low enough that it does not cover the AVC of smaller inefficient ships, then the smaller, more inefficient ships will decide to:
A. shut-down.
B. raise the price they charge.
C. make up for it by raising their speeds.
D. make up for it by accepting more cargo.
Answer: A
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There are three goods you are interested in purchasing, X, Y and Z. You notice that the price of Z has fallen. Given that the cross price elasticity between Z and Y is ?1.5; the cross price elasticity between Y and X is 3.0, and the cross price elasticity between Z and X is 0.50 . It would make sense that:
a. Z and X are complements; Y and X are substitutes. b. Y and X are substitutes; Y is complementary to Z. c. X and Z are unrelated; Y is complementary to X. d. X and Z are complements; Y and Z are substitutes.
The required reserve ratio is the percentage of total deposits that the Fed requires a bank to hold in vault cash or on deposit with the Fed
a. True b. False Indicate whether the statement is true or false
Tom, the manager and owner of a small company, believes in the signaling theory of education, not the human capital theory. As such, we would expect Tom not to offer which of the following company benefits?
a. employer-matching 401k retirement plan contributions b. tuition reimbursement for workers who take college classes c. on-site day care d. health insurance
Resources are all of the following EXCEPT
A) scarce and therefore require choices to be made. B) limited in quantity and can be used in different ways. C) unlimited and in abundance. D) the things we use to produce goods and services.