In the above figure, marginal cost and marginal revenue are equal at output
A. Q1.
B. Q5.
C. Q3.
D. Q2.
Answer: A
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Which statement is true?
A. it is easier to attain full employment than full production. B. employment discrimination no longer exists in the U.S. labor market. C. The United States is usually operating on the production possibilities frontier. D. None of these statements are true.
Which of the following events will decrease the domestic real interest rate in an open economy?
A. A decrease in the domestic saving. B. An increase in the perceived riskiness of investing in the domestic economy. C. An increase in domestic saving. D. An decrease in net capital inflow.
When investors buy more capital goods because the interest rates have fallen, the aggregate demand curve
A) shifts right. B) shifts left. C) does not shift. D) stays the same.
The short-run aggregate supply curve is upward-sloping because: a. the quantity of real output supplied is inversely related to aggregate supply
b. nominal incomes are fixed. c. of the conjunction between the incremental capital-output ratio and the interbank offer rate. d. an increase in price will increase the supply of money.