The idea that paying higher wages attracts a more talented labor pool is called the

a. winner's curse
b. efficiency wage theory
c. marginal productivity theory
d. lemons problem
e. theory of the second best

B

Economics

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The figure above shows the production possibilities frontier for a country. In order for it to produce at point E, the

A) country would need to acquire more resources and/or more advanced technology. B) production of compact cars would need to decrease. C) production of SUVs would need to decrease. D) country would need to use its resources more efficiently. E) country would need to determine that compact cars and SUVs are equally important to it.

Economics

To graph a relationship among several variables, we hold all but ________ variable(s) constant and use the ________ assumption

A) one; scarcity B) two; ceteris paribus C) three; scarcity D) one; ceteris paribus E) one; absence of trend

Economics