Fixed costs are
A) costs that never change.
B) costs that a firm incurs even when output is zero.
C) not actually costs since they do not affect the decisions of a firm.
D) costs that increase at a constant rate when output increases.
Answer: B
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Within neoclassical growth theory, technological change ________ saving and ________ investment
A) increases; increases B) increases; decreases C) decreases; increases D) decreases; decreases
Earnings usually reflect a person's productivity. What are factors that cause differences in productivity across people so that earnings differ too?
What will be an ideal response?
A buyer's consumer surplus on a unit of a good is its value to that buyer minus the market price
a. True b. False
Which of the following is an example that can help explain increased profits for large financial holding companies?
A. Financial holding companies are not well diversified and receive a higher return for the higher risk. B. Financial holding companies are exempt from having to pay for FDIC insurance. C. Financial holding companies offer a wide array of services under many brand names. D. Financial holding companies need only one CEO, one Board of Directors, and one computer system regardless of size.