What would opening trade between two nations do?
What will be an ideal response?
Trade would leave the production possibilities unchanged and increase their consumption possibilities.
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If the required reserve ratio is 10 percent, the simple deposit multiplier is
A) 5.0. B) 2.5. C) 100.0. D) 10.0
Which of the following is the opportunity cost of money?
a. The use of money as a means of payment b. The trouble of having to get money out of the bank c. The interest forgone by holding money d. The ability to purchase things at a moment's notice e. Commissions paid to brokers
If a firm's output equals 10, product price equals $5.00, TFC = $8.00, and TVC = $60.00, then AFC would equal
a. $.80 b. $1.00 c. $80.00 d. $2.00 e. $8.00
The factor of production called "labor" can be defined as the:
A. time spent by employees in the production of goods, but not services. B. number of worker-hours a business uses at a given time. C. fraction of total costs spent on people. D. number of people a business has access to at any given time.