Constant returns to scale are associated with a:
A. horizontal short-run average cost curve.
B. horizontal long-run average cost curve.
C. downward-sloping short-run average cost curve.
D. downward-sloping long-run average cost curve.
Answer: B
Economics
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Which of the following is true? a. At below the natural rate of unemployment, the economy is considered to be beyond full employment. b. At above full employment, the economy is producing more than potential output
c. At above full employment, unemployment would be below its natural rate. d. All of the above are true.
Economics
Economic analysis that focuses on the market behavior of firms and households is called
a. normative economics b. positive economics c. microeconomics d. macroeconomics e. econometrics
Economics