If an economy keeps increasing its capital stock, then over time its production possibilities curve will
a. remain unchanged but more capital goods will be produced
b. shift outward
c. shift inward
d. disappear because scarcity will eventually be overcome
e. remain unchanged, but production will occur outside (exterior to) the curve
B
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In a steady-state economy with no population growth, output per worker is 35, the saving rate is 20 percent, and the depreciation rate is 11 percent. The level of capital per worker is ________
A) 64 B) 19 C) 39 D) 28
Which of the following is the result of competing through advertising for a monopolistically competitive firm?
a. Long-run average costs shift downward. b. The firm's demand curve become flatter and shifts inward. c. The firm's demand curve keeps the same slope and shifts inward. d. Long-run average costs shift upward.
The poverty rate among female-headed households is around
A. 70%. B. 33%. C. 2%. D. 11%.
Which of the following is NOT a component of value added of a firm?
A. expenditures on intermediate goods B. profits C. wages D. interest