What would make the demand for labor more elastic?
What will be an ideal response?
The demand for labor will be more elastic the greater the demand for the final product, the easier it is for labor to be substituted for by other inputs, the larger the proportion of total costs accounted for by labor, and the longer the time period.
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Cartels tend not to be long-lived because of ?the Prisoner's Dilemma.
Answer the following statement true (T) or false (F)
Changes in business inventories
A) are included in gross but not in net investment. B) can either be positive or negative. C) are not included in GDP because they are not sold to anyone. D) are only partly included in GDP because part of these are holdings of intermediate goods.
Fracking involves:
A) extracting certain forms of energy from shale rock formations B) deep water drilling for energy with minimal externalities C) the reduction of menu costs thus allowing prices to adjust more freely D) breaking down the production of goods resulting in more competitive markets
A price-discriminating monopolist with two markets will equate
A. marginal revenue and marginal cost in each of the two markets. B. the prices of two markets. C. price and marginal revenue in each of the two markets. D. the average costs of the two markets.