When a transfer price is set higher
a. the buying division will want to sell less to the selling division
b. the buying division will want to sell more to the selling division
c. the selling division will want to sell less to the buying division
d. the selling division will want to sell more to the buying division
d
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Which type of unemployment leads to a natural rate of unemployment above zero?
A. The natural rate of unemployment is always zero. B. Frictional unemployment C. Unemployment of government workers D. Cyclical unemployment
Based on the figure above, if the firm produces 10 cans per day, the firm ________ maximizing its profit and is ________
A) is; incurring an economic loss B) is; making zero economic profit C) is; making an economic profit D) is not; incurring an economic loss E) is not; making zero economic profit
Corey has a blue sweater and a denim jacket. On some days he chooses to wear the sweater but on others he chooses to wear the jacket. Economists would most likely conclude that:
A. Corey is irrational if he wears different clothing on different days. B. Corey is indifferent between wearing a jacket or a sweater. C. Corey's preferences have not changed, but other factors may have changed such as the temperature outside. D. Corey's preferences have changed.
If we consider the equation PAE = A + bY the part that corresponds to the MPC when we make simplifying assumptions is:
A. Y B. PAE C. b D. A