As China switches from catch-up growth to discovery-based growth, the pace of
worldwide discoveries will increase and this will raise living standards
a. in the countries that China trades with.
b. in China and its neighboring countries.
c. in the United States
d. in China
e. in all countries
The Sherman Antitrust Act prohibits price fixing by competitors, monopolization of a
market, and attempts to monopolize a market.
Which of the following best describes the idea of excess capacity in monopolistic
competition?
Microeconomics deals with which of the following?
Which of the following people would be considered frictionally unemployed?
a. The President of the United States
b. An elementary school student
c. A lifeguard unemployed during the winter
d. A high school graduate entering the labor market for the first time
e. A person laid off from his job
If an action creates more total benefits for gainers than total harm to losers,
Wages typically vary among individuals for all of the following reasons, except one.
Which is the exception?
Which of the following categories of unemployment arises from macroeconomic
causes?
a. Temporary unemployment
b. Underemployment
c. Structural unemployment
d. Frictional unemployment
e. Cyclical unemployment
Which of the following is a reason why a country barely at subsistence levels cannot
achieve growth very easily?
a. It cannot decrease capital goods in order to increase consumption goods.
b. The lower income means that Say’s law does not apply here.
c. Too much savings exist and therefore it remains underutilized.
d. It cannot decrease consumption goods in order to increase capital goods.
e. It cannot decrease capital goods in order to also decrease consumption goods.
If both the market for a firm’s output and the market in which it hires its labor are
perfectly competitive, the firm’s labor demand curve will be perfectly elastic.
