When a perfectly competitive firm's demand curve lies above its average total cost curve, the firm incurs an economic loss at that level of output
a. True
b. False
Indicate whether the statement is true or false
False
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The price of natural gas fell and the quantity sold also fell. Everything else being equal, it is consistent that
A. the price of oil fell. B. natural gas workers received large wage increases. C. more efficient gas drilling equipment was installed. D. consumer incomes rose. E. the supply of natural gas fell.
A likely way to increase the productivity of workers engaged in research and development is to ________
A) increase the size of the labor force B) increase the number of workers engaged in research and development C) invest more in the education of scientists D) increase the national saving rate
When people expect higher inflation, usually nominal interest rates will:
A. rise. B. fall. C. remain unchanged. D. move erratically.
Unemployment insurance
a. reduces the hardship of unemployment, but it also increases the amount of unemployment. b. reduces the incentive for the unemployed to find and take new jobs. c. causes workers to be less likely to seek guarantees of job security when they negotiate with employers over the terms of employment. d. All of the above are correct.