If consumer confidence rises, then aggregate demand shifts
a. right, making inflation higher than otherwise.
b. right, making inflation lower than otherwise.
c. left, making inflation higher than otherwise.
d. left, making inflation lower than otherwise.
a
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Suppose the bobby pin industry is perfectly competitive. The price of a packet of bobby pins is $2.00. Pins and Needles, Inc is a firm in this industry and is producing 1,000 packets of bobby pins per day at the point where the MC = MR
The average cost of production at this output level is $1.50 per packet. a. What is the marginal cost of the 1,000th packet? b. Is this firm making an economic profit, zero economic profit, or an economic loss? How much? c. Is the firm in long-run equilibrium? Why or why not?
At which interest rate is the present value of $196.85 three years from today equal to $175 today?
a. 2 percent b. 4 percent c. 6 percent d. 8 percent
Which of the following is NOT a determinant of demand?
a. production technology
b. consumers' tastes
C. prices of other goods
d. consumers' incomes
Refer to the data. At the point where 3 units are being sold, the coefficient of price elasticity of demand:
A. cannot be estimated.
B. suggests that the market is purely competitive.
C. is less than unity (one).
D. is greater than unity (one).