An oligopolist will increase production if the output effect is
a. less than the price effect.
b. equal to the price effect.
c. greater than the price effect.
d. The oligopolist never has an incentive to increase production.
c
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Jose works at Intel. His manager tells him what work needs to be completed each month. Jose's resource, labor, is allocated with which of the following methods?
A) command B) majority rule C) force D) personal characteristics E) lottery
The above figure shows supply and demand curves for milk. In an effort to help farmers, the government passes a law that establishes a $3 per gallon price support. To maintain the price support, government expenditures must equal
A) k + i. B) f + g + h + i + j. C) f + g + h + i + j + k. D) f + g + h + i + j + k + e.
Tom and Jerry have two tasks to do all day: make dishes and build fences. If Tom spends all day making dishes, he will have make 16 dishes. If he instead devotes his day to building fences, Tom will build 4 fences. If Jerry spends his day making dishes, he will make 14 dishes; if he spends the day building fences, he will build 7 fences. At the end of the day, if Jerry was efficient with his resources, he could have produced:
A. 12 dishes and 0 fences. B. 10 dishes and 2 fences. C. 8 dishes and 2 fences. D. 6 dishes and 2 fences.
Which of the following is not a component of aggregate demand?
a. Consumption b. Investment spending c. Government spending d. Real interest rate