In the food and kindred products industry, it is estimated that the elasticity of output with respect to labor is 0.43 and the elasticity of output with respect to capital is 0.48

These two measures indicate that the primary metals industry is characterized by A) decreasing returns to scale.
B) constant returns to scale.
C) increasing returns to scale.
D) no returns to scale.


A

Economics

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As price falls, quantity demanded

A. rises. B. falls. C. remains the same.

Economics

Supply-side economists would say that tax rates are generally


A. at the level 0F.
B. at some level below 0F.
C. at some level above 0F.
D. such that an increase in tax rates will increase tax revenue.

Economics

In order for a price floor to be effective, it must be set _____________ the equilibrium price, while a price ceiling must be set _____________ the equilibrium price in order to be effective.

a. above; below b. above; above c. below; above d. below; below e. at; at

Economics

Real gross domestic product (GDP) shows: a. total spending on intermediate goods and services. b. constant dollar GDP. c. net domestic product

d. nominal GDP adjusted for taxes. e. domestic income.

Economics