The extra benefit associated with producing or consuming the next unit is called the:
A. revenue product.
B. spillover.
C. marginal benefit.
D. economic benefit.
C. marginal benefit.
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Which of the following statements best describes the US economy between 1921 and 1928?
a. Most of the major sectors were growing very rapidly b. Hyperinflation led to large decreases in the standard of living c. Real average wage growth was stagnant d. Unemployment fluctuated dramatically
The federal government buys $10 million worth of aircraft engines from General Motors. If the MPC is .80 what will be the impact on aggregate demand, other things being equal? a. Aggregate demand will increase $8 million
b. Aggregate demand will increase $12.5 million. c. Aggregate demand will increase $18 million. d. Aggregate demand will increase $50 million.
The largest merger in banking and finance history was between
A. Crossland Savings and Metropolitan Savings. B. Chase Bank and Chemical Bank. C. Chase Manhattan and J.P. Morgan. D. Travelers and Citicorp.
Figure 11.2Figure 11.2 shows demand and costs for a monopolistically competitive firm. In the long run we expect:
A. the firm to produce more output at a higher price. B. the firm to charge a price which is equal to its average cost of production. C. the firm to experience a decrease in the average cost of production. D. the firm to earn a greater profit.