Price indexes like the CPI are calculated using a base year. The term base year refers to:
a. any year in which inflation was higher than 5 percent.
b. the most recent year in which the business cycle hit the trough.
c. an arbitrarily chosen reference year.
d. the first year that price data are available.
c
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"Privatization of government owned industries is a more desirable way to operate an economy" is a ________ statement about ________ policy.
A. normative; monetary B. positive; structural C. normative; structural D. positive; fiscal
Monopolists
A) maximize revenue, not profits. B) have no short-run fixed costs. C) face downward sloping demand curves. D) are price takers.
The above figure shows the short-run production function for Albert's Pretzels. The law of diminishing marginal productivity
A) appears with the second worker. B) has not yet appeared for any of the levels of labor. C) first appears with the fifth worker. D) is refuted by this evidence.
The commercial jetliner industry consisting of Boeing and Airbus would best be described as a (an)
a. perfectly competitive market. b. monopolistically competitive market. c. oligopoly. d. monopoly.