A minimum wage that is set below the equilibrium wage will
a. cause increased unemployment
b. have no effect on employment
c. cause the overall wage to increase
d. cause the overall wage to decrease
e. create more jobs
B
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Which of the following statements about third-degree price discrimination is correct?
A. Successful third-degree price discrimination will generally result in a greater level of output than would be the case under a single-price pure monopoly. B. Successful third-degree price discrimination does not require that different groups of consumers have different demand elasticities. C. Successful third-degree price discrimination does not require that the producer separates customers into easily identifiable groups. D. Successful third-degree price discrimination will not provide the firm with more total profits than if it does discriminate.
The marginal physical product (MPP) is calculated by
A. dividing total physical product by labor. B. dividing the change in total physical product by the change in the input. C. the difference between the output of skilled and unskilled workers. D. dividing the change in total cost by the change in labor.
To answer the next question, use the information in the table below which illustrates the multiplier process resulting from an autonomous increase in investment by $5. Change in IncomeChange in ConsumptionChange in SavingsAssumed increase in investment$5.00 $1.25Second round $2.81 All other rounds 8.44 Totals 5.00The marginal propensity to consume is
A. 0.75. B. 0.9. C. 0.5. D. 0.8.
U.S. exports represent two flows:
A. An outflow of goods or services, and an outflow of payments B. An inflow of goods or services, and an outflow of payments C. An outflow of goods or services, and an inflow of payments D. An inflow of goods or services, and an inflow of payments