Capital is a factor of production. Which of the following is an example of capital?

i. $1,000 in money
ii. 100 shares of Microsoft stock
iii. $10,000 in bonds issued by General Motors
iv. a drill press in your local machine shop

A) i and ii B) ii only C) iv only D) iii only E) ii and iii

C

Economics

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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.

Economics

If diminishing marginal returns have already set in for Golden Lark Woodworks, and the marginal product of the 6th carpenter is 8 chairs, then the marginal product of the 7th carpenter is

A) more than 8 chairs. B) zero. C) negative. D) less than 8 chairs.

Economics