Which of the following is true about increasing cost industries?
a. They use a large portion of available specialized input resources in production
b. In order for industry output to expand, the prices of the specialized inputs will increase.
c. Expansion of industry output leads to a higher equilibrium price in the long run.
d. All of the above are generally true of increasing cost industries.
d
Economics
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In the long run, an increase in the growth rate of the quantity of money ________ the inflation rate and ________ the nominal interest rate
A) raises; does not change B) lowers; raises C) raises; raises D) raises; lowers E) lowers; lowers
Economics
If a British automobile sells for £20,000 and the British pound is worth $1.50, then the dollar price of the automobile is
A) $1.60. B) $12,500. C) $20,000. D) $30,000.
Economics