There is a distinction between the long-run aggregate supply (LRAS) curve and the short-run aggregate supply (SRAS) curve. In the long run
A. technology is fixed, but not in the short run.
B. all adjustments to changes in the price level have been made, but in the short run all changes in the price level do not occur.
C. the price level is constant in the long run, but fluctuates in the short run.
D. the aggregate supply curve is horizontal, while in the short run it is upward sloping.
Answer: B
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The goal of managers is to manage resources in such a way
A) to make them worth as much as they would be in their next best use. B) to make them worth more than they would be in any other use. C) to cover the cost of capital. D) to cover all opportunity costs.
Maximum Feasible Hourly Production Rates of EitherComputers or Bicycles Using All Available ResourcesProductUnited StatesChinaComputers83Bicycles26 Refer to the above table. Assuming that opportunity costs are constant, the opportunity cost of producing a bicycle in the United States is equal to ________, and the opportunity cost of producing a bicycle in China is ________.
A. 4 computers; 0.5 computer B. 2.67 bicycles; 0.33 computers C. 0.375 computer; 3 bicycles D. 0.25 computer; 2 computers
In a proportional tax system each individual would pay the same percentage of his or her income in taxes
a. True b. False Indicate whether the statement is true or false
Table 15.1Table 15.1 shows the preferred budget in millions for a new sports facility and the number of thousands of voters in a community who prefer that budget. Tom proposed a budget of $7 million while Mary proposed a budget of $2 million. Which of the two candidates will be elected if everyone votes?
A. Tom B. Mary C. It will be a tie. D. The outcome of the election cannot be predicted.