If the costs of production decrease, there is
A) an increase in aggregate supply and the AS curve shifts rightward.
B) an increase in the quantity of real GDP supplied and a movement up along the AS curve.
C) a decrease in aggregate supply and the AS curve shifts leftward.
D) a decrease in the quantity of real GDP supplied and a movement down along the AS curve.
E) an increase in aggregate supply and the AS curve shifts leftward.
A
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One well-established full-service stock brokerage charges $35 commissions per trade. A new online brokerage charges $7.95 per trade. Yet, many people still elect to use the traditional, full service broker. Why?
A) They're fools. B) They must not be aware of online brokers. C) They might perceive the low commission to be a sign of low reliability. D) They are failing to economize.
Justin's bank employs tellers and ATMs. Both are able to serve clients in the exact same way and therefore are perfect substitutes. Describe the elasticity of substitution between the two inputs
What will be an ideal response?