If inputs into production cannot be substituted for each other but have to be employed in fixed proportions, isoquants are straight, downward-sloping lines
Indicate whether the statement is true or false
False. Isoquants are straight lines when inputs are perfect substitutes. When input relations are fixed they are right angles.
Economics
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Explain why financial intermediaries are necessary to facilitate the movement of funds from savers to investors and how they provide benefits to both groups
What will be an ideal response?
Economics
You own an ice cream store and are concerned that an employee may be giving generous scoops to friends and relatives and smaller scoops to some other customers. This is an example of
a. a moral hazard problem. b. adverse selection. c. behavioral economics. d. signaling.
Economics