In general, what does a labor union feel about productivity changes that shift the MRP curve to the right?
a. threatened
b. unhappy
c. delighted
d. nothing
e. angry
C
You might also like to view...
Which of the following government actions would be considered expansionary fiscal policy?
A. Balancing the federal budget B. Reducing tariffs on imports C. Passing a personal tax credit for the purchase of a new automobile D. Asking the Federal Reserve to reduce interest rates
If a marginal cost pricing rule is imposed on the firm in the figure above, the consumer surplus will be
A) zero. B) $800. C) $400. D) $200.
The short-run model makes use of the , which assumes that private consumption expenditure is sensitive to changes in current income.
a. Pareto-optimal condition b. consumer sovereignty model c. Keynesian consumption function d. consumption-smoothing model
Once a book has been written, would an author facing an inelastic demand curve for the book prefer to raise or lower the book's price? Why?
A. The author would raise or lower the price. Because the author's cost is a sunk cost, any increase or decrease in price will increase revenue and profit. B. The author would prefer to raise the book's price. Raising prices when demand is inelastic increases revenue. Because the author's cost is a sunk cost, profit also rises. C. The author would prefer to lower the book's price. Lowering prices when demand is inelastic increases revenue. Because the author's cost is a sunk cost, profit also rises. D. The author would not change the price. Because the author's cost is a sunk cost, any change in price will decrease revenue and profit. References