The possible measuring units for capital productivity could be units/$, Kg/Rial, Barrels/$, etc.
a. true
b. false
a. true
You might also like to view...
More farmers have recently entered the corn industry. In addition there has been a technological advancement in the fertilizer industry providing corn farmers with a cheaper and a more effective fertilizer
In the market for corn, the effects these changes will have on the equilibrium price and quantity are A) price will increase, and quantity will decrease. B) price will increase, and the effect on quantity is indeterminate. C) price will decrease, and quantity will increase. D) price will decrease, and the effect on quantity is indeterminate.
For a country to be a price taker in the global market for some good:
A. the quantity it produces and consumes must be very small relative to the total amount of that good bought and sold worldwide. B. the quantity it produces and consumes must be very large relative to the total amount of that good bought and sold worldwide. C. there must be many sellers all supplying a very significant amount to the market. D. there must be many buyers all buying a large amount from the market.
Which of the following is true about rational expectations?
a. People form expectations on the basis of information about past as well as future actions of policy makers. b. Wage agreements do not reflect inflationary expectations if workers expect continued inflation c. Rational people cannot easily anticipate the effects of discretionary policy on the price level and output. d. The role of expectations is applicable in the context of monetary policy only. e. The effectiveness of a particular government policy is independent of people's expectations.
Refer to Table 4-10. An agricultural price floor is a price that the government guarantees farmers will receive for a particular crop. Suppose the federal government sets a price floor for wheat at $21 per bushel
a. What is the amount of shortage or surplus in the wheat market as result of the price floor? b. If the government agrees to purchase any surplus output at $21, how much will it cost the government? c. If the government buys all of the farmers' output at the floor price, how many bushels of wheat will it have to purchase and how much will it cost the government? d. Suppose the government buys up all of the farmers' output at the floor price and then sells the output to consumers at whatever price it can get. Under this scheme, what is the price at which the government will be able to sell off all of the output it had purchased from farmers? What is the revenue received from the government's sale? e. In this problem we have considered two government schemes: (1 ) a price floor is established and the government purchases any excess output and (2 ) the government buys all the farmers' output at the floor price and resells at whatever price it can get. Which scheme will taxpayers prefer? f. Consider again the two schemes. Which scheme will the farmers prefer? g. Consider again the two schemes. Which scheme will wheat buyers prefer?