The above figure shows the isoquants for producing steel. Increasing returns to scale are
A) present when producing less than 10,000 tons.
B) present when producing less than 20,000 tons.
C) present when producing less than 30,000 tons.
D) never present.
A
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How do economists measure the consumption of a good?
(A) The amount of a good that is bought for a specific amount of money. (B) The amount of money spent to buy a good. (C) The amount of a good that is bought. (D) The amount of a good that is actually used rather than bought.
If the marginal propensity to consume (MPC) is 0.75, a $50 decrease in government spending, other things being equal, would cause equilibrium real GDP to:
A. increase by $50. B. decrease by $50. C. increase by $200. D. decrease by $200.
Refer to the scenario above. What will be the capital stock in the economy in the current year, if the capital stock in the last year was worth $600?
A) $1200 B) $1040 C) $900 D) $1000
If a pension fund has sufficient contributions and earnings to pay benefits, it is said to be
A) underfunded. B) at par. C) fully funded. D) over par.