In the long run a perfectly competitive firm operates ____ and a monopolistically competitive firm operates ____
a. at the efficient scale; with excess capacity
b. at the efficient scale; at the efficient scale
c. with excess capacity; with excess capacity
d. with excess capacity; at the efficient scale
a
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From left to right, the horizontal axis of the Lorenz curve ranks households from
A) smallest to largest. B) largest to smallest. C) poorest to richest. D) richest to poorest.
Reserves equal
A) deposits with the Fed plus holdings of U.S. government securities. B) currency in circulation plus vault cash. C) deposits with the Fed plus vault cash. D) currency outstanding plus currency in circulation.
Which furniture production process would have the highest wage rates?
a. furniture made by handsaw and hammer b. furniture made with power equipment c. furniture made by grade school-educated workers d. furniture made in an automated furniture factory
A small country is an international lender and its domestic supply of loanable funds increases. Consequently, the equilibrium quantity of loanable funds used in the country ________ and the country's international lending ________
A) increases; decreases B) does not change; does not change C) does not change; increases D) increases; does not change