Suppose that each worker must use only one shovel to dig a trench, and shovels are useless by themselves. In the long run, an increase in the price of shovels will result in
A) fewer shovels being purchased to produce the same number of trenches.
B) more workers being hired to produce the same number of trenches.
C) the firm wishing to produce more trenches.
D) no change in the firm's input mix.
D
Economics
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When the price of good X rises, the demand for good Y falls. Explain what this relationship implies about the two goods
What will be an ideal response?
Economics
The value of fiat money is fundamentally determined by the: a. reputation of the bank that holds it
b. reputation of the person who holds it. c. value of the gold or silver for which it can be redeemed. d. value of the commodities for which it can be traded. e. value of comparable stocks and bonds.
Economics