Which is the distinguishing feature of the standard cobweb model?
A. Real wages steadily increase.
B. Capital is not fixed in the short run.
C. Payroll taxes create a tax wedge, which in turn increases overall employment levels.
D. The firm is a perfectly discriminating monopsonist.
E. Wages and employment levels adjust slowly over time.
Answer: E
You might also like to view...
Managers should maximize
A) social accountability. B) the health and welfare of the employees. C) market share. D) none of these choices.
The longest contractionary period in the U.S. Economy since 1854 was how long?
a. 3 ½ years b. 4 ½ years c. 5 ½ years d. 6 ½ years
Based on the table showing income inequality in the United States, from 1950 to 1980, the distribution of income in the United States ______.
a. changed erratically
b. remained more or less stable
c. dramatically shifted to favor lower earners
d. dramatically shifted to favor higher earners
Vaccinations convey ________ to third parties.
A. positive externalities B. public goods C. economies of scale D. negative externalities