If the United Auto Workers' Union obtained a 15 percent increase in the wages of its workers, employment in the auto industry would most likely fall if
a. the demand for American-made automobiles was highly inelastic.
b. American consumers considered foreign automobiles a poor substitute for American-made automobiles.
c. the demand for American-made automobiles was highly elastic.
d. the demand for American-made automobiles was increasing.
B
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Many Southern farmers face a choice between planting peanuts or cotton. In 2014, farmers anticipated higher prices for cotton
In the market for peanuts in 2014, there would be ________ in the supply of peanuts, which leads to ________ in the price of peanuts and ________ in the quantity of peanuts. A) a decrease; an increase;a decrease B) an increase; a decrease; a decrease C) a decrease; an increase; an increase D) an increase; an increase; a decrease
As the nominal interest rate increases ________
A) it becomes more costly to hold money instead of bonds B) the quantity of money demanded falls C) the opportunity cost of holding money rises D) all of the above E) none of the above
If the firms hires 5 workers, the average variable costs equals
a. $200 b. $50 c. $80 d. $40
It can be shown that average revenue and price are always equal
a. True b. False Indicate whether the statement is true or false