An increase in the user cost of capital leads firms to ________ their profit by ________ their capital-output ratio
A) raise, increasing
B) raise, decreasing
C) lower, increasing
D) lower, decreasing
B
You might also like to view...
If the Herfindahl-Hirschman Index (HHI) among the firms in the long distance telecommunications market is equal to 855, when would the Federal Trade Commission probably challenge a proposed merger between any two of the firms?
A) It would challenge if the HHI would increase by more than 50 points. B) It would challenge if the HHI would increase by more than 100 points. C) It would challenge no matter what happened to the HHI because the market has so few firms. D) It would not challenge because the HHI is less than 1500.
Which of the following is a term referring to unemployment that occurs because individuals lack skills valued by employers?
a. cyclical unemployment b. underemployment c. natural unemployment. d. structural unemployment