Which of the following is the most likely outcome of raising the minimum wage?
a. an increase in both the quantity of labor supplied by workers and the quantity of labor demanded by firms
b. an increase in the quantity of labor supplied by workers and a decrease in the quantity of labor demanded by firms
c. a decrease in the quantity of labor supplied by workers and an increase in the quantity of labor demanded by firms
d. a decrease in both the quantity of labor supplied by workers and the quantity of labor demanded by firms
b
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Which of the following correctly distinguishes the concepts of marginal utility and total utility?
a. Marginal utility is inversely related to the number of goods consumed, while total utility is directly related to the number of goods consumed. b. Marginal utility is directly related to the number of goods consumed, while total utility is inversely related to the number of goods consumed. c. Marginal utility is the total satisfaction provided by the consumption of a good, while total utility is the additional amount of satisfaction received from the consumption of an additional unit of a good. d. Total utility is always a positive value, while marginal utility is always a negative value.
Data from the registrar's office at Gigantic State University indicate that over the past 20 years tuition and enrollment have both increased. From this information we can conclude that:
A. higher education is an exception to the law of demand. B. the supply of education provided by GSU has also increased over the 20-year period. C. school-age population, incomes, and preferences for education have changed over the 20- year period. D. GSU's supply curve of education is downsloping.
Under perfect competition
A) information about prices is hard to obtain. B) there is a maximum number of firms that can enter the market. C) if a firm exits the market, price will rise. D) transaction costs are low.
Which of the following is true about inflation?
a. Inflation promotes social harmony by uniting people against the government. b. Inflation is more damaging if it is anticipated. c. Accurate anticipation of inflation is possible for everyone who is well informed about economic events. d. Those who lend money at a rate below the rate of inflation suffer economic losses. e. If people accurately anticipate inflation, their actions will prevent it.