The market price for wallets is $20. Your technology is such that at your most efficient production point, the average total cost of producing a wallet is $2.50. Your manager runs into your office and shouts, "Boss!!! Average costs are rising!! Average costs are rising!!" To make a profit-maximizing decision, you should:

In Figure 15.3, the Fed can change the equilibrium interest rate from 2 percent to 6 percent by

A. Increasing the amount of coins in circulation. B. Decreasing the reserve requirement. C. Raising the discount rate. D. Buying bonds in the open market.

All else equal, the jobs that are the least likely to be outsourced are those that:

A. require face-to-face communication. B. can be broken down into series of well-defined steps. C. can be done by a computer. D. do not involve face-to-face contact.