Limits on the flow of foreign exchange and financial investment across countries are called
A) currency restrictions. B) credit constraints.
C) fixed exchange rates. D) capital controls.
D
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Marginal cost is the change in the:
A) total cost associated with producing one more unit of output. B) average total cost associated with producing one more unit of output C) average variable cost associated with producing one more unit of output. D) opportunity cost associated with producing one more unit of output.
Suppose that the labor cost-total cost ratio in industry A is 82 percent while in industry B it is 21 percent. Other things equal, labor demand will be:
A. more elastic in industry A than in B. B. relatively inelastic in both industries A and B. C. more elastic in industry B than in A. D. relatively elastic in both industries A and B.