A rancher raises sheep. Once a year he shears them and sells the raw wool to a processor who cleans it and spins it into yarn. The yarn is then sold to a knitting mill, which produces and sells sweaters. In calculating GDP we would count:

A. the raw wool, the yarn and the sweaters.
B. only the yarn and the sweaters.
C. only the sweaters.
D. only the raw wool and the yarn.


Answer: C

Economics

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A) a small; large B) a large; small C) any; large D) Both answers A and B are correct. E) None of the above answers is correct.

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Why does the government intervene in the market for research, especially medical research?

What will be an ideal response?

Economics

About ___________ of the U.S. population moves each year

a. 5% b. 10% c. 15% d. 35%

Economics

Total revenue for a perfectly competitive firm producing six units of output is $48. Total revenue for producing eight units of output is $64. Given this information, the:

A. average revenue for producing eight units is $16. B. marginal revenue for producing the eighth unit is $16. C. firm should raise its price. D. marginal revenue for producing the eighth unit is $8.

Economics