Consider a firm that is trying to determine how many hours to remain open in a day. How would the firm make this decision?
What will be an ideal response?
The firm would continue to stay open as long as the incremental, or marginal, benefit of staying open (say, the increased revenues) each extra hour exceeds (or at least equals) the incremental, or marginal, costs (e.g., electricity, wages, etc.) incurred from staying open that hour.
Economics
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You may receive a margin call if
A. You have a long (buying) futures position and prices increase B. You have a long (buying) futures position and prices decrease C. You have a short (selling) futures position and prices increase D. Both B and C.
Economics
The inverse trade-off between inflation and unemployment is known as the:
a. Laffer curve. b. aggregate supply curve. c. Phillips curve. d. aggregate demand curve. e. Keynesian curve.
Economics