At the competitive firm's profit-maximizing quantity of labor:
A. marginal profits are always positive.
B. the value of the last worker's marginal product is greater than or equal to marginal cost of that input.
C. the average product of labor is equal to the wage rate.
D. the value of the last worker's marginal product is less than the marginal cost of that input.
Answer: B
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Suppose that in October, market analysts predict that the price of platinum will fall in November. What happens in the platinum market in October, holding everything else constant?
A) The demand curve shifts to the right. B) The supply curve shifts to the right. C) The supply curve shifts to the left. D) The quantity of platinum demanded and the quantity of platinum supplied both increase.
An important distinction between the labor market and the market for commodities is:
a. that contracts are arrived at more easily in the former. b. the individual attributes of the buyer and seller hold far more importance in the former case. c. that it is impossible to prevent breach of contract in the labor market. d. that the market for commodities is a matching market while the former is not.
How do you calculate consumer's surplus? What happens to consumer's surplus when the price of a commodity rises?
What effect does the following transaction have on the U.S. balance of payments?(Choose the proper debit and credit entries.) U.S. residents purchase Mexican products and pay for them with U.S. dollars
a. Debit the U.S. financial account; credit the U.S. current account. b. Credit the U.S. financial account; debit the U.S. current account. c. Debit the U.S. financial account; credit the U.S. financial account. d. Credit the U.S. financial account; debit the U.S. financial account. e. Credit the U.S. financial account; debit the U.S. net errors and omissions account.