An increase in the interest rate causes the MRP of a resource to fall

a. True
b. False
Indicate whether the statement is true or false


True

Economics

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Information asymmetries are defined to be when:

A. one party to a transaction has more information that another. B. information isn’t readily available to anyone. C. both sides to a transaction have equal information. D. one party withholds information from the other party.

Economics

Exhibit 7-16 Short-run cost curves for a competitive firm ? In Exhibit 7-16, if the market price of its product is $50 per unit, then the firm will:

A. break even. B. shut down. C. exit the industry. D. earn a positive economic profit.

Economics

An increase in the quantity of hybrid cars supplied would be caused by which of the following?

A. An increase in the demand for hybrid cars B. A decrease in the demand for hybrid cars C. Higher prices of car batteries D. Lower prices for gasoline

Economics

If a good has an absolute price elasticity of 4, the demand for the good is

A) unit elastic. B) inelastic. C) perfectly elastic. D) elastic.

Economics