With a linear production function in labor only, which of the following must be true?
A) The representative household works as much as possible.
B) The representative firm makes large profits.
C) The real wage equals total factor productivity.
D) The marginal product of labor exceeds the real wage.
C
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Which of the following best describes compensating wage differentials?
A. Some jobs are more difficult than others, and the pay for them reflects this. B. Some jobs require more training than others, and the pay for them reflects this. C. Some jobs require more experience than others, and the pay for them reflects this. D. Some jobs require unique abilities, and the pay for them reflects this.
Exhibit 17-1: Global Comparison of Government Surpluses and Deficits as a Percentage of GDP, 2016 ? Country Surplus (+) or Deficit (-) as a percent of GDP Canada -1.10 Iceland 12.57 Latvia 0.06 Norway 3.99 Spain -4.51 United States -4.94? Given the information in Exhibit 17-1, which of the countries shown was closest to balancing its budget?
A. Iceland B. Latvia C. Norway D. United States
Related to the Economics in Practice on page 281: The foreign visitors to the temples of Laos are typically much richer than the local Laotians. This tends to make the foreign visitors ________ buyers when it comes to ticket prices to enter the temples.
A. perfectly elastic B. less elastic C. perfectly inelastic D. more elastic
The demand for food will likely be price ________ while the demand for Brand X Burger will likely be price ________.
A. elastic; elastic B. inelastic; inelastic C. elastic; inelastic D. inelastic; elastic