Suppose Trevor Noah of the "Daily Show" makes an annual income of $2,000,000. If he quit his television job and went into producing he could make $400,000 per year. Trevor Noah's annual economic rent to labor is
A. $1,400,000.
B. $400,000.
C. $2,000,000.
D. $1,600,000.
Answer: D
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a. True b. False
Which of the following federal agencies is NOT engaged in economic regulation?
A) the Federal Reserve B) Federal Aviation Administration C) Food and Drug Administration D) Federal Deposit Insurance Corporation
Suppose that a price-discriminating monopolist divides its market into two segments. In each market segment, price is determined by finding the level of output where that market's
a. average revenue equals average total cost b. average revenue equals average variable cost c. marginal revenue equals average total cost d. marginal revenue equals marginal cost e. marginal cost equals average total cost
If interest rates are to remain constant, the money supply should change: a. in the opposite direction to a change in aggregate demand. b. in the same direction as a change in money demand
c. only when investment changes. d. only when the demand for money decreases. e. only when the inflation rate changes.