When a person gets an increase in current income, what is likely to happen to consumption and saving?
A. Consumption increases and saving increases.
B. Consumption increases and saving decreases.
C. Consumption decreases and saving decreases.
D. Consumption decreases and saving increases.
Answer: A
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Although the efficient quantity to produce of any good is located where marginal social benefit and marginal social cost are equal, there will usually be other quantities where the sum of consumer and producer surplus are greater
Indicate whether the statement is true or false
The Bureau of Labor Statistics counts discouraged workers as
a. employed. Including them as employed makes the unemployment rate lower than otherwise. b. unemployed. Including them as unemployed makes the unemployment rate higher than otherwise. c. out of the labor force. If they were counted as unemployed the unemployment rate would be higher. d. None of the above is correct.
An imperfectly competitive firm has the following total cost curve: C = 100 + 4Q. What is average total cost equal to when Q = 10?
What will be an ideal response?
In the production function for new ideas and technology in ________, a decrease in the labor force will ________ the growth rate of technological change
A) the AK growth models; decrease B) the AK growth models; increase C) the two-sector growth model; decrease D) the two-sector growth model; increase