What is a firm? What other terms do economists use interchangeably with the term "firm"?
What will be an ideal response?
A firm is an organization that produces a good or service. Firms are also called companies or businesses.
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Credit entries on the Balance of Payments are the entries that would
A) mean a loss of foreign exchange. B) bring foreign exchange into the country. C) indicate a surplus exists. D) exist at the bottom line after all accounts are totaled.
Which of the following is one of the reasons for declining union membership in the United States?
A) Much of the unskilled, nonunionized work in the United States is done by immigrant workers who are undocumented. B) The AFL-CIO merger and creation of the Change to Win Federation reduced competition among unions. C) the repeal of the Taft-Hartley Act D) Labor force participation by women has decreased.
Later, the teaching assistant in Eleanor's economics course gives her some advice. The teaching assistant says, "Based on past experience, working on 12.5 problems raises a student's exam score by about the same amount as reading the textbook for 1 hour." For simplicity, assume students always cover the same number of pages during each hour they spend reading. Given this information, in order to use her 4 hours of study time to get the best exam score possible, how many hours should she have spent working on problems and how many should she have spent reading?
What will be an ideal response?
The hypothesis that people's spending decisions are based on all available information, including the anticipated effects of government intervention, is known as
A. Rational responses. B. The velocity of money. C. Rational expectations. D. Fiscal expectations.