The above figure shows the isoquants for producing steel. When producing more than 20,000 tons there are
A) increasing returns to scale.
B) decreasing returns to scale.
C) constant returns to scale.
D) economies of scale.
B
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A bank with $100 million in deposits has $15 million of cash in the bank, $10 million in deposits with the Fed, and $15 million in government securities in its vault. Its total reserves equal
A) $10 million. B) $15 million. C) $25 million. D) $40 million.
If in late 2016 100 U.S. dollars exchanged for 118 euros and in mid-2017 100 U.S. dollars exchanged for 127 euros, then:
A. American goods became more expensive to Americans. B. European goods became more expensive to Americans. C. the dollar appreciated relative to the euro. D. the euro appreciated relative to the dollar.
A line that slopes downward from left to right has a
A. Negative slope. B. Slope that changes as you move along the curve. C. Slope of zero. D. Positive slope.
Suppose that in 2015 a country has a population of 1 million and real GDP of $1 billion. In 2016, the population is 1.1 million and the real GDP is $1.1 billion. The real GDP per person growth rate is
A) $1000. B) positive. C) negative. D) zero.