In the Hotelling Rule, which of the following will not cause the price of an exhaustable natural resource to rise
a) An unanticipated fall in interest rates
b) An unanticipated rise in demand
c) An unanticipated fall in supply
d) An unanticipated rise in the backstop price
e) An unanticipated rise in interest rates
e) An unanticipated rise in interest rates
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The tradeoff for monetary policy represented by the Phillips curve is
a. lower inflation for lower output. b. lower inflation for higher unemployment. c. lower inflation for higher employment. d. higher expected inflation for higher output. e. none of the above.
For the firm's cost minimization problem, one of the key assumptions for each input is that:
A) marginal product is constant. B) marginal product is increasing at a decreasing rate. C) marginal product is increasing at an increasing rate. D) marginal product is decreasing at an increasing rate.
A country cannot develop without a large natural resource base
a. True b. False Indicate whether the statement is true or false
For most students, the earnings they give up to attend college are
a. a minor cost when compared to the costs of tuition, room and board, and the like. b. the single largest cost of their education. c. about equal to the costs of room and board at college. d. not considered true costs by an economist.