Which of the following would cause a firm's LRAC curve to shift up?
A) An increase in the amount of "learning by doing."
B) An increase in the price of labor, all else constant.
C) An increase in the amount of output produced by the firm.
D) A decrease in the amount of capital employed by the firm.
B
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In the Classical system, the total output of goods and services and total employment are determined by all of the following except
A) the interest rate. B) the labor force. C) the supply of capital. D) existing technology.
Which statement is true about the banking industry in the 1920s?
a. Consumer confidence in banks increased during the 1920s. b. Bank failures caused by depositors withdrawing their money in large numbers were common. c. Bank executives were generally corrupt and were the primary cause of bank troubles. d. The industry was severely depressed during most of the decade.
If the economy were producing at point Z and moved to point D,
A. it could only produce more butter at the sacrifice of some gun production.
B. it could only produce more guns at the sacrifice of some butter production.
C. it could produce more guns and more butter at the same time.
D. it would be impossible to produce more guns without the sacrifice of some butter production.
A demand-pull inflation spiral results when
What will be an ideal response?