The law of diminishing returns explains why short-run marginal cost curves are upward sloping.
Answer the following statement true (T) or false (F)
True
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If in the economy, business saving equals $300 billion, household saving equals $10 billion and government saving equals -$200 billion, what is the value of national saving?
A. $210 billion B. $310 billion C. $110 billion D. $10 billion
Which of the following statements is true?
a. Emissions-trading is trading that allows firms to buy and sell the right to pollute. b. The Coase Theorem is the proposition that private markets can rarely ever achieve social efficiency. c. The free-rider problem refers to those who ride on public transit systems without paying. d. Government failure has never occurred in the United States.
A surplus of a good means
a. there is an excess demand for this good b. the price is lower than its equilibrium level c. the quantity demanded exceeds the quantity supplied d. the quantity supplied is less than the quantity demanded e. there is an excess supply of the good
In the Solow model, if f(k) = 2k0.5, s = 0.3, n = 0.05, and d = 0.15, what is the value of k at equilibrium?
A. 9 B. 6 C. 3 D. 1