The opportunity cost of producing a good rises only slightly as the quantity produced increases. This good has
A) an inelastic demand.
B) an elastic demand.
C) an elastic supply.
D) an inelastic supply.
E) a perfectly elastic supply.
C
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How might a monopolistically competitive firm continually earn economic profit greater than zero?
What will be an ideal response?
If disposable income is $400 billion, consumption spending is $380 billion, and MPC is 0.5, what is the level of saving?
a. $20 billion. b. $210 billion. c. $380 billion. d. $590 billion. e. $780 billion.
When we say investment in economics we are talking about:
A. stocks. B. physical capital. C. bonds. D. None of these are examples of investment in economics.
Your boss wants to know if you should lay off any workers. You answer that you should lay off workers if the
A. marginal revenue product of labor is equal to the nominal wage rate. B. marginal revenue product of labor is greater than the nominal wage rate. C. marginal product of labor is greater than or equal to the real wage rate. D. marginal product of labor is less than the real wage rate.