Suppose Bank-in-the-Box is a monopolist in its market area. If the market wage rate of bank tellers rises, the bank will
a. maintain price and suffer losses
b. raise price and earn greater profit
c. raise price but earn less profit
d. lower price to boost sales
e. shut down if AVC is less than price
C
Economics
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If the multiplier in an economy is 5, a $20 billion increase in net exports will:
A. increase GDP by $100 billion. B. reduce GDP by $4 billion. C. decrease GDP by $100 billion. D. increase GDP by $20 billion.
Economics
Recipients of Medicare tend to demand a greater quantity of low-value, high-cost services because
A. recipients are coerced into demanding such services. B. the government mandates that they demand such services. C. the services are readily available. D. the services are heavily subsidized.
Economics