A manager invests $400,00 . in a technology to reduce overall costs of production. The company managed to reduce their cost per unit from $2 to $1.85 . Ceteris peribus, if the firm continues its production in the same economic environment, the firms economic profits should
a. increase
b. decrease
c. stay the same
d. increase as long as the investment does not generate implicit costs that are greater than $0.15 per unit
d
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What is the budget surplus if the total amount of taxes collected by a local government is $171,000 and the total amount spent is $90,000?
A) $81,000 B) $100,000 C) $70,000 D) $262,000
When deciding between domestic and foreign financial investments, investors typically consider
A) domestic and foreign inflation rates and expected changes in the exchange rate. B) domestic and foreign budget deficits. C) shifts in the relative demand for foreign and domestic goods. D) domestic and foreign interest rates and expected changes in the exchange rate.
List the three possible ways the government can make adjustments, and the three possible ways the private sector can make adjustments, to an increase in the government's budget deficit
What will be an ideal response?
The unfunded nature of the Social Security system has no effect on investment
a. True b. False