At the beginning of 2018, Albert planned to buy a new home theater system, laptop computer, and hybrid car by borrowing money. Albert already owes $9,000 on other loans. He also planned to buy a new iPod and humidor out of current income. A decrease in interest rates during 2018 will most likely
A. cause Albert to decide to borrow more money, but not change what he planned to spend on goods purchased with current income.
B. cause Albert to decide to borrow less money and to spend less on goods purchased with current income.
C. cause Albert to decide to borrow more money and to spend more on goods purchased with current income.
D. cause Albert to decide to borrow less money, but not change what he planned to spend on goods purchased with current income.
Answer: C
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Marginal product of labor is:
a. the extra output produced by an additional worker, all else unchanged. b. the extra wage earned by an additional worker, all else unchanged. c. the total output produced when an extra worker is hired. d. the total revenue earned when an extra worker is hired.
The Doing Business As name identifies a company for:
a. Bank accounts b. Sales c. Patents d. None of these
If the U.S. were to revert to a gold standard, trade deficits would:
A. result in higher domestic interest rates. B. quickly disappear. C. result in high inflation. D. result in gold reserves in the U.S. increasing.
In Exhibit 11-5, at what wage rate will the firms stop hiring these workers?
A. $25.00. B. $20.00. C. $15.00. D. $10.00.