The opportunity cost of holding a dollar is
A. the interest yield that could have been earned by holding some other asset.
B. the price of a government bond.
C. a dollar.
D. less than a dollar.
Answer: A
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All of the following are shown on a firm's income statement except
A) revenues B) rate of return for investors C) costs D) profits
Refer to the table below. If at the current advertising level, A = $9,800, B = $15,200, and C = $8,000, to maximize profit, which of the following should the firm do?
The table above shows the current costs for a firm to advertising on the radio, television, and newspaper.
A) The firm should decrease its advertising on the radio and increase its advertising in newspapers.
B) The firm should decrease its advertising on the television and increase its advertising in newspapers.
C) The firm should increase its advertising on the television and decrease its advertising in newspapers.
D) The firm should decrease its advertising on the radio and increase its advertising on television.
If there is no change in equilibrium price after a $1 per unit tax is imposed on suppliers, demand must be perfectly inelastic
a. True b. False
Figure 17.3 describes the labor market for a manufacturing industry. In the short run, an increase in the productivity of the workers will:
A. cause the equilibrium wage and the hours of labor used to increase. B. not have an effect on this market. C. cause the equilibrium wage to increase but will not change the hours of labor used. D. cause the equilibrium wage to increase and the hours of labor used to decrease.