Which of the following indicates that economies of scale have been overridden by other factors?
a. A company seeking to save on architect's fees during its move to Maryland copies the same building it used in San Francisco, so now it occupies the only office in Baltimore built to withstand earthquakes.
b. The workers on the night shift at the Roadkill Diner, having no customers of their own, peel 400 potatoes, fill 300 catsup bottles, fry 100 pounds of bacon, and brew 80 quarts of coffee for the morning shift.
c. Denny's Restaurant serves potatoes with its breakfasts nationwide, but in the South you can get grits instead.
d. The Creepy Critters Summer Camp decides not to give campers a choice between hamburgers and hot dogs but makes creamed chipped beef on toast for everybody.
e. Henry Ford said that his customers could have any color car they wanted, as long as they wanted black.
C
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All of the following are variables that can be manipulated to affect fiscal policy except one. Which is the exception?
a. Personal income taxes b. Government expenditures on goods and services c. Government expenditures on unemployment benefits d. The federal funds rate e. Corporate income taxes
Which of the following is a microeconomic problem?
a. frictional unemployment. b. structural unemployment. c. cyclical unemployment. d. natural unemployment. e. inflation.
Which of the following is an example of nonmarket work?
a. working as a secretary for an oil and gas corporation b. growing your own vegetable garden c. going to school to learn Spanish d. both B and C are examples of nonmarket work
At long-run equilibrium inflation ________ and output equals ________.
A. equals the value determined by part expectations and pricing decisions; the level of short-run equilibrium output consistent with that inflation rate B. is stable; potential C. equals the value consistent with potential output; the level of output consistent with zero inflation D. equals the value determined by past expectations and pricing decisions; potential