In an economic model of consumer behavior, rational self-interest would likely be
a. a key variable
b. the hypothesis of the model
c. a behavioral assumption
d. a prediction of the model
e. a method of testing the model
C
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During the 1980s, Harley-Davidson, the American motorcycle maker asked Congress for tariff protection from large motorcycles imported from Japan
Harley-Davidson argued that their company needed protection so the company could reorganize and, after some time had passed, could become more competitive. Harley-Davidson's argument is similar to the ________ argument for protection. A) anti-dumping B) save domestic jobs C) infant-industry D) national security E) bring diversity and stability
Any combination of two goods that lies beyond the production possibilities frontier
A) is currently impossible to produce. B) is currently possible to produce, but not worth trying. C) represents economic waste. D) represents a more efficient combination of output than anything lying on the frontier.
Which of the following is an example of an investment in human capital?
a. a law student who works as a waiter in the summer b. on-the-job training received by an apprentice welder c. payments into a retirement pension plan by a skilled laborer d. all of the above are correct.
The supply curve of money shows, all other things unchanged, the
A) quantity of money supplied at each price of bonds. B) quantity of money supplied at each bond rate. C) quantity of money supplied at each interest rate. D) amount of money people supply at a specific interest rate.