If there is no change in equilibrium price after a $1 per unit tax is imposed on suppliers, demand must be perfectly inelastic
a. True
b. False
B
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The level of investment necessary to keep the capital-labor ratio constant is called
A) capital investment. B) break-even investment. C) depreciated investment. D) diluted investment.
A manager believes there is a 10 percent chance their firm will have to pay $500,000, a 20 percent chance that they will have to pay $400,000 and a 70 percent chance they will be found innocent and pay nothing except the legal fees of $100,000. The manager has been offered a settlement deal of $230,000, which the manager's firm would have to pay the plaintiff. If the manager flips a coin to
decide to enter litigation or to settle, the manager is ________. A) a risk lover B) risk intolerant C) risk neutral D) risk averse
Given the scenario described, if the market price of hammers increased from $8 to $12, producer surplus would:
Assume there are three hardware stores, each willing to sell one standard model hammer in a given time period. House Depot can offer their hammer for a minimum of $7. Lace Hardware can offer the hammer for a minimum of $10. Bob's Hardware store can offer the hammer at a minimum price of $13. A. increase from $8 to $12. B. increase by $4 for each producer. C. increase by $4 for House Depot. D. increase by $7 in total.
GDP excludes the purchases of sliced bread by a sandwich shop, because the bread is an intermediate good in this case
a. True b. False Indicate whether the statement is true or false