You read online that, at current rates of production, the yearly world supply of food is sufficient to feed the projected 2050 population of earth, but that after 2050 there will be massive starvation. This prediction appears to assume that:
A. the long-run supply of food is perfectly inelastic.
B. the long-run supply of food is perfectly elastic.
C. the short-run supply of food is perfectly elastic.
D. the short-run elasticity of supply of food is greater than long-run elasticity of supply.
Answer: A
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The wage rate paid by Walkman producers falls and at the same time the price of raw materials used in the production of Walkmans rises. You predict that the supply curve of Walkmans will
A) shift either leftward or rightward. B) surely shift rightward. C) surely shift leftward. D) surely become steeper.
Suppose coal sells for $50 per ton and can be mined at a constant marginal cost of $20 per ton. Forecasters predict that the price of coal next year will be $55
If your marginal cost next year will still be $20 and the interest rate is 10%, do you sell coal today?
Complementary goods
a. are usually used in conjunction with each other b. are usually used in place of one another c. do not adhere to the law of demand d. are goods whose demand rises as incomes rise e. are goods whose demand falls as wealth falls
Suppose the population (age 16 and over) of Cameroon is 250 million; 10 million are unemployed, and 125 million hold jobs. The employment/population ratio in Cameroon is
a. 8 percent. b. 50 percent. c. 54 percent. d. 92 percent.