After graduating from high school, Adam is thinking about going to college. The college tuition is $15,000 a year. Instead of going to college, Adam could take a full-time job that pays $25,000. What is Adam's opportunity cost of attending college for one year?
A. $40,000
B. $15,000
C. $25,000
D. $10,000
Answer: A
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Which of the following workers is most likely to lose his/her job during a recession?
A. Barber B. Farmer C. Baker D. Construction worker
John Maynard Keynes described periods of irrational pessimism and optimism that affect the investment behavior of firms as animal spirits. When considering the investment behavior of firms, animal spirits can be thought of as changes in the
A) actual marginal product of capital. B) capital stock. C) expected marginal product of capital. D) user cost of capital.
If the value that consumers place on the 100th unit of chocolate is $5, and the value of the resources used to produce that 100th unit is $2, to achieve an efficient allocation of resources
a. a $3 externality associated with chocolate production must be generated b. a $3 externality associated with chocolate production must be eliminated c. less resources should be allocated to chocolate production d. more chocolate should be produced e. less chocolate should be produced
Which statement is false?
A. The National Football League is a monopsony. B. The National Education Association is the largest union in the U.S. C. Unions have two basic ways of exerting power: inclusion and exclusion. D. The most important collective bargaining weapon of employers is the threat of a lockout.