Holding other factors constant, a higher relative price of a firm's output will:
A. increase national saving.
B. decrease national saving.
C. decrease investment.
D. increase investment.
Answer: D
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Scarcity results from the fact that
A) people's wants exceed the resources available to satisfy them. B) not all goals are desirable. C) we cannot answer the major economic questions. D) choices made in self-interest are not always in the social interest. E) the population keeps growing.
Some economists believe that when workers and firms expect a recessionary monetary policy, _____. a. they act so as to prevent the price level from increasing b. their actions lead to a further increase in output c. they are likely to negotiate for relatively lower wages
d. the monetary authority is forced to cancel its planned recessionary policy e. both output and employment increase even more than was originally planned
You go into the local hardware store to buy a hammer and find that the store is running a special on quality hammers: $14 each, two for $20. You are likely to buy two rather than one if a second hammer is at minimum
What will be an ideal response?
From the information in the above table, calculate the marginal factor cost of the third worker.
A. $18.00 B. $36.00 C. $12.00 D. $24.00