Which statement is false?
A. Short-run cost assumes a fixed capital size, while long-run cost includes all possible capital levels in determining cost.
B. Short-run total cost can never be less than long-run total cost at any given output level.
C. Short run ATC and long run ATC are never equal except at the minimum point on the long run ATC curve.
D. Long-run marginal cost never intersects long-run average cost as long as increasing returns to scale are present.
Answer: C
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Cookies would be considered:
A. a common resource. B. a private good. C. a public good. D. an artificially scarce good.
The labor force participation rate of women in the United States has been
a. increasing for several decades and this has strongly affected GDP. b. decreasing for the past several decades after increasing dramatically in the early 1900s. c. approximately constant during the last three decades. d. decreasing since the early 1900s.
Personal income is equal to
A. national income minus (corporate income taxes and Social Security). B. NDP minus national income. C. disposable personal income plus personal income taxes. D. disposable personal income plus personal and corporate income taxes.
The official poverty level is based on pretax income including cash. Which of the following statements is correct regarding this official specification of poverty?
A. This is a good definition of poverty because it is easy to measure. B. This is a good definition of poverty since it is made up of the income from productive resources. C. This is not a good definition of poverty because our tax structure consists of the same tax rate for different income brackets D. This is not a good definition of poverty because it does not include in-kind subsidies.