At low levels of production, the firm
a. benefits from increased size because it can take advantage of greater specialization.
b. has the potential for economies of scale.
c. is unlikely to experiences acute problems with coordination.
d. All of the above are correct.
d
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List two ways the labor force experience is different between workers in Europe and in the United States. How do these differences influence productivity?
What will be an ideal response?
In 1980, the U.S. budget was ________, private saving was ________ domestic investment, and foreign borrowing was ________
A) in deficit, higher than, not needed to finance deficit B) balanced, roughly equal to, not needed to finance deficit C) balanced, less than, substantial. D) surplus, greater, negligible
The above figure shows supply and demand curves for milk. If the government passes a $2 per gallon specific tax, the welfare loss will equal
A) j. B) f + g. C) b + c + f + g. D) c + g.
Tyler purchases 5 pounds of hot dogs per month when his monthly income is $2,000 and 4 pounds of hot dogs per month when his monthly income is $2,200 . Tyler's income elasticity of demand for hot dogs is
a. 2.33, and hot dogs are a normal good. b. -2.33, and hot dogs are an inferior good. c. 0.43, and hot dogs are a normal good. d. -0.43, and hot dogs are an inferior good.