A simultaneous equations model is suitable whenever two variables are determined simultaneously.
Answer the following statement true (T) or false (F)
False
Rationale: FEEDBACK: Just because two variables are determined simultaneously, it does not imply that a simultaneous equations model is suitable. The criteria for using a simultaneous equations model is that each equation in the model should make sense in isolation from the other equation.
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The table gives data for a nation. What is the amount of the country's GDP?
A) $6,000 billion B) $6,200 billion C) $6,900 billion D) $5,800 billion E) $6,600 billion
Refer to Figure 11-15. What is the combination of inputs that produces 200 gooseberry pies at the lowest cost?
A) combination e: 10 hours of labor and 48 units of capital B) combination f: 40 hours of labor and 24 units of capital C) combination g: 60 hours of labor and 14 units of capital D) combination h: 60 hours of labor and 9 units of capital