Consumers do not prefer gifts-in-kind to cash gifts
Indicate whether the statement is true or false
True . It is possible the consumer would buy the same gift with cash and therefore be just as well off. If the consumer bought something other than the gift, that means that this something else is preferred to the gift. At best, the gift yields the same utility as would have been achieved with the cash, but never more.
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A beneficial oil-price shock increases labor demand. What happens to current employment and the real wage rate?
A) Both employment and the real wage rate would increase. B) Both employment and the real wage rate would decrease. C) Employment would increase and the real wage would decrease. D) Employment would decrease and the real wage would increase.
If Marginal Cost (MC) is higher than Average Cost (AC), average cost is
a. falling b. rising c. constant d. none of the above
Plumbers and carpenters are examples of industrial unions
a. True b. False
An increase in the unemployment rate would affect tax receipts and government expenditures by
A. reducing tax receipts and expenditures. B. increasing tax receipts and expenditures. C. reducing tax receipts and raising expenditures. D. raising tax receipts and reducing expenditures.