As labor increases, there is a
A) shift of the aggregate production function, but no movement along it.
B) movement along the aggregate production function, but no shift in it.
C) movement along the aggregate production function and real GDP will increase less with each additional increase in labor.
D) movement along the aggregate production function and real GDP will decrease less with each additional increase in labor.
C
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Since the income elasticity for food is estimated to be 0.51, it appears that the proportion of income spent by poor people on food is ____ the proportion spent by those with higher incomes
a. greater than b. less than c. about the same as d. about half as great as
Describe how a firm’s revenues and profits are increased through product innovation. What three other points should be noted about these results?
What will be an ideal response?