The real interest rate equals:
a. the nominal interest rate minus the inflation rate.
b. the nominal interest rate plus the inflation rate.
c. the inflation rate minus the nominal interest rate.
d. none of the above.
a
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Which of the following statements about employer prejudice is true?
a. It would be impossible for employer prejudice to exist in a firm that sells its output in a competitive market unless all rivals also discriminate. b. Economic theory tells us that it would be impossible for employer prejudice to exist in a firm that is a monopoly. c. Employer prejudice will help a monopolist to increase his profits by satisfying his managers personal prejudices. d. Legislation has ended employer prejudice in the United States. e. Employer prejudice occurs only in low-paying jobs.
Refer to the information provided in Figure 2.5 below to answer the question(s) that follow.
Figure 2.5Refer to Figure 2.5. The economy is currently at Point B. The opportunity cost of moving from Point B to Point A is the
A. 120 LCD TVs that must be forgone to produce 20 additional OLED TVs. B. 30 LCD TVs that must be forgone to produce 40 additional OLED TVs. C. 20 OLED TVs that must be forgone to produce 30 additional LCD TVs. D. 40 OLED TVs that must be forgone to produce 120 additional LCD TVs.
Firms ________ their ________ costs in the short run.
A. cannot change; total B. can change; overhead C. can change; variable D. can change; fixed
In the diagram, the range of diminishing marginal returns is:
A. 0Q 3 .
B. 0Q 2 .
C. Q 1 Q 2 .
D. Q 1 Q 3