If a good is capital intensive it means that the good is produced
A) using relatively more capital than goods that are not labor intensive.
B) using capital as the only input.
C) using more capital per unit of output than goods that are not capital intensive.
D) using capital such that the total cost of capital is greater than the total cost of labor.
E) using capital such that the cost of capital is more than 50% of total cost.
A
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Jack is a prospective buyer of a commodity that Jill is offering to sell. Social surplus in this scenario can be maximized:
A) when only Jack is optimizing. B) when only Jill is optimizing. C) when both Jack and Jill are optimizing. D) when neither Jack nor Jill is optimizing.
The relationship between the unemployment rate and the natural unemployment rate is that the unemployment rate
A) fluctuates about the natural rate. B) equals the natural rate. C) is always below the natural rate. D) is always above the natural rate.