A lawn service is deciding whether to add an additional employee to its summer crew. The marginal cost of hiring this worker depends on the
A) total amount paid to only the new worker.
B) total amount paid to all previously hired workers.
C) the total amount paid to all the workers, both the new one and the previously hired workers.
D) the additional revenue created by having an additional worker minus the cost of hiring the worker.
A
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Many state governments use lotteries to raise revenue. If a lottery is viewed as a tax, is it most likely a progressive tax or a regressive tax?
What information would you need to determine whether the burden of a lottery is progressive or regressive?
In a certain economy, the components of planned spending are given by: C = 500 + 0.8(Y - T) - 300rI P = 200 - 400rG = 200NX = 10T = 150 Given the information about the economy above, which expression gives induced expenditures?
A. 0.8Y B. [910 ? 700r ] C. 0.2Y D. [790 ? 700r ]
Which of the following is true of foreign exchange markets?
A. Most foreign exchange trading involves the exchange of U.S. dollars for other currencies. B. Individuals' exchanges of currencies comprise the largest portion of overall foreign exchange trading. C. The laws of demand and supply are not applicable in a foreign exchange market. D. The foreign exchange market is a single gathering place where traders shout buy-and-sell orders at each other.
If consumption of a good is subsidized by the government, then the MU/P of that good among consumers will:
A. Decrease B. Become negative C. Increase D. Not be affected