Government debt and interest payments on that debt
a. are problems if they grow faster than GDP
b. are unrelated in the short run
c. are unrelated in the long run, but not in the short run
d. generally grow faster than government spending
e. contributed to the crisis experienced by the U.S. economy in the late 1990s
A
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Use the following table to answer this question, which provides information on the production of a product that requires one variable input.InputTotal Product0015220332442550655758858956The average product generated with 5 units of the input is
A. 50. B. 8. C. 5. D. 10.
Refer to the scenario above. Which of the following problems is most likely to arise in this case?
A) Adverse selection B) Moral hazard C) The tragedy of the commons D) The free-rider problem
The hourly wage rate is the opportunity cost of one hour of leisure because
A) the person's substitution effect exceeds his or her income effect. B) that is what a person gives up to enjoy the hour of leisure time. C) the person must work for a living. D) the person prefers leisure to work regardless of the wage.
Refer to Figure 16-5. Suppose the firm represented in the diagram decides to use a two-part pricing strategy such that it charges a fixed fee and a per-unit price equal to the monopoly price
What is the revenue collected from the fixed fee portion of the price? A) $10,240 B) $7,870 C) $2,560 D) $1,440