Suppose that you own a house. What is the opportunity cost of living in the house?
A) The opportunity cost is the rent you could have received from a tenant if you didn't live there.
B) There is no opportunity cost unless you could set up a business in the house.
C) There is no opportunity cost because you own the house.
D) The opportunity cost is the cost of your monthly mortgage payment plus bills.
A
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For a perfectly competitive firm, the shutdown point is the
A) amount of output at which price equals minimum average variable cost. B) amount of output at which price equals minimum average total cost. C) price at which economic profit is zero. D) price at which total opportunity cost is zero.
If the average productivity of American firms is rising more quickly than the average productivity of Indian firms, which of the following would you expect to see? (India's currency is the rupee.)
A) an increase in the value of the rupee relative to the dollar B) a decrease in the quantity demanded of Indian products relative to American products C) a decrease in the prices of Indian products D) an increase in the quantity demanded of Indian products relative to American products
Anticipated adverse government legislation would fall under which of the four categories identified in the SWOT Analysis?
Strengths Weaknesses Opportunities Threats
If the short-run Phillips curve has a very flat slope, the
A. structural deficit will grow during inflation. B. structural deficit will fall during recession. C. inflation costs of reducing unemployment are relatively low. D. inflation costs of reducing unemployment are relatively high.