If a duopoly has reached the monopoly outcome and only one firm increases its production, that firm's profit ________ and the other firm's profit ________
A) increases; increases
B) increases; decreases
C) decreases; increases
D) decreases; decreases
E) increases; does not change
B
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In economics, the accumulated skills and training that workers have is known as
A) physical capital. B) human capital. C) innovation. D) entrepreneurship.
Why do financial intermediaries aid in the efficient operation of the economy?
a. Without them it would be difficult for small savers to lend to large borrowers. b. They lend funds to businesses at a zero interest rate. c. They print currency. d. They regulate the money supply. e. They engage in open market operations.
What is the declining or dying industry argument for establishing barriers to imports? What are its merits and weaknesses? What measure(s) is/are more efficient than an import tariff if the intention is to help workers who would be displaced from a dying industry? Why? What measure(s) is/are more efficient than an import tariff if maintaining current production levels is the goal of government policy?
What will be an ideal response?
Choose the letter below that best represents the type of shift that would occur in the following situation in the United States: During World War II, the U.S. government spent huge amounts of money to fund the war effort. (See Figure 8.6.)
A. A. B. B. C. C. D. D.