If the single-input producer choice set is fully convex, the first order conditions of the profit maximization problem are necessary but not sufficient for identifying the profit maximizing production plan.
Answer the following statement true (T) or false (F)
False
Rationale: In this case, the first order conditions are both necessary and sufficient.
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An example of a discretionary fiscal stimulus policy is
A) decreasing government expenditure. B) the automatic increase in needs-tested spending during a recession. C) decreasing needs-tested spending. D) cutting taxes. E) induced taxes.
The term "random walk" means that stock prices are fairly predictable
a. True b. False Indicate whether the statement is true or false
Suppose a small island nation imports sugar for its population at the world price of $1,500 per ton. The domestic market for sugar is shown below.
With no subsidy, the equilibrium price of sugar is ________ per ton, and the equilibrium quantity is ________ tons per day.
A. $1,500; 12 B. $1,000; 12 C. $1,000; 8 D. $1,500; 8
Trade adjustment assistance in the United States began in 1962. The program
A. was designed to provide assistance to firms or workers who suffer idle facilities, unprofitability, and unemployment because of sharp increases in imports. B. provided little assistance to victims of free trade before the 1970s. C. was enlarged and worker benefits were extended in 1981 by the Reagan administration. D. All of the above are correct.