If the MPC is 0.75, then the multiplier is 4.
Answer the following statement true (T) or false (F)
True
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Total product is maximized where
A) average product is maximized. B) marginal product is maximized. C) average product is equal to 0. D) marginal product is equal to 0.
Suppose the price of banana rises over time and consumers respond by buying fewer bananas. This situation contributes to which bias in the consumer price index?
a. Substitution bias. b. Transportation bias. c. Quality bias. d. Indexing bias.
The reasons that nations trade include the fact that a. resources are distributed unequally across countries, and persons must trade to get more of what they want by specialization and trade. b. differences in climate lead to unequal abilities to grow certain types of food
c. no one country produces all of what citizens within the country want. d. all of the above
A monopolist's profit per unit is shown by the difference between price and marginal cost per unit
a. True b. False Indicate whether the statement is true or false