Explain whether each of the following is a fixed cost or a variable cost for Damian Dandridge's tattoo parlor
a. The payment he makes to buy tattoo ink.
b. The wages he pays his employees.
c. The $500-per-month payment he makes to advertise his shop on highway billboards.
d. The lease payment he makes to the landlord who owns the building where his shop is located.
e. The payment he makes on his liability insurance policy.
c, d, and e are fixed costs because they do not change as the quantity of tattoos produced increases. a and b are variable costs because they increase as the quantity of tattoos produced increases. It is important to note that the time period under consideration is important. In the long run, all of these costs are variable.
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In general, the number of years it will take for income to double at the current real growth rate is approximately:
A. 70 divided by the growth rate. B. 7 times the growth rate. C. 50 divided by the growth rate. D. 5 times the growth rate.
The self-interest of the participants in an economy is guided into promoting general economic self-interest by
a. the invisible hand. b. market power. c. government intervention. d. oikonomos.
List three characteristics of a bond that would make its interest rate higher than otherwise
Since the National Basketball Association is the only significant employer of professional basketball players, it might be referred to as a(n)
A. oligopsony. B. monopsony. C. oligopolist. D. monopoly.