Which is not a typer of decision that can be made at the margin?
(A) Whether to leave early in the morning or late in the day for a trip.
(B) Whether or not to hire 100 new workers.
(C) Whether or not to go on a vacation.
(D) Whether to grow beans or corn on a large farm.
Ans: (B) Whether or not to hire 100 new workers.
You might also like to view...
Refer to Table 4-3. The table above lists the marginal cost of polo shirts by Marko's, a firm that specializes in producing men's clothing. If the market price of Marko's polo shirts is $18
A) producer surplus will equal $22. B) Marko's will produce four shirts. C) there will be a surplus; as a result, the price will fall to $7. D) producer surplus from the first shirt is $18.
Moral hazard can contribute to high bank leverage in all of the following ways EXCEPT
A) having high capital requirements. B) bank managers are compensated in part on providing shareholders with high returns on equity. C) high bank leverage provides shareholders with a potential for a higher return on equity. D) federal deposit insurance has reduced the incentive of depositors to monitor the behavior of bank managers.