This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Suppose that Year 2 is the base year. The CPI for Year 1 is approximately A) 80.0. B) 90.0. C) ... (Read 75 times)

Beheh

  • Hero Member
  • *****
  • Posts: 520
on: Jun 30, 2018
Suppose that Year 2 is the base year. The CPI for Year 1 is approximately
 
  A) 80.0.
  B) 90.0.
  C) 100.0.
  D) 120.0.

Question 2

Equilibrium market prices for capital and labor are 10 and 8, respectively. Then, the economy experiences one or more supply shocks, so that the marginal product of capital is 12, and the marginal product of labor is 9.
 
  Assuming that the available quantities of capital and labor are fixed, which of the following is (are) likely to decrease as the economy approaches its new equilibrium? A) real rental price of capital
  B) total output
  C) economic profits
  D) the quantity of capital in use
  E) none of the above


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

Briannahope

  • Sr. Member
  • ****
  • Posts: 364
Reply #1 on: Jun 30, 2018
Answer to Question 1

A

Answer to Question 2

C


Beheh

  • Member
  • Posts: 520
Reply 2 on: Jun 30, 2018
Excellent

carojassy25

  • Member
  • Posts: 299
Reply 3 on: Yesterday
Wow, this really help

« previous next »
 

Did you know?

The liver is the only organ that has the ability to regenerate itself after certain types of damage. As much as 25% of the liver can be removed, and it will still regenerate back to its original shape and size. However, the liver cannot regenerate after severe damage caused by alcohol.

Did you know?

Cutaneous mucormycosis is a rare fungal infection that has been fatal in at least 29% of cases, and in as many as 83% of cases, depending on the patient's health prior to infection. It has occurred often after natural disasters such as tornados, and early treatment is essential.

Did you know?

Adolescents often feel clumsy during puberty because during this time of development, their hands and feet grow faster than their arms and legs do. The body is therefore out of proportion. One out of five adolescents actually experiences growing pains during this period.

Did you know?

In inpatient settings, adverse drug events account for an estimated one in three of all hospital adverse events. They affect approximately 2 million hospital stays every year, and prolong hospital stays by between one and five days.

Did you know?

Many of the drugs used by neuroscientists are derived from toxic plants and venomous animals (such as snakes, spiders, snails, and puffer fish).

The phosphorus cycle. Numbers are 1012 g P or fluxes as 1012 g P per year (data from Schlesinger 199 The phosphorus cycle. Numbers are 1012 g P or fluxes as 1012 g P per year (data from Schlesinger 199
Cranial capacity has increased approximately fourfold over the last 3.5 million years of hominin evo Cranial capacity has increased approximately fourfold over the last 3.5 million years of hominin evo
Observed Mother–Child Arguments at Five Time Points Over an Eight-Year Period Observed Mother–Child Arguments at Five Time Points Over an Eight-Year Period
Foods for Baby’s First Year Foods for Baby’s First Year
In an acid-base neutralization reaction, 33.74 mL of 0.500 M potassium hydroxide reacts with ... In an acid-base neutralization reaction, 33.74 mL of 0.500 M potassium hydroxide reacts with ...
Dragon Chinese new year 2023 Dragon Chinese new year 2023
Video: How a Urinalysis is Performed

For a complete list of videos, visit our video library