The marginal revenue product of labor in a
competitive market decrease as a firm increases the quantity of labor used
because of the
Law of diminishing returns
Marginal revenue profit is the
increase in
Total revenue from the use of
additional use of a resource
Which is an example of a change in productivity that increases labor
demand
A technological change increases
output per worker in the computer industry thus increasing the demand for
computer workers
Gambling increases in popularity
thus increasing the demand for card dealers in casinos. This would be caused by
which change in a determinate of labor demand
Increase in product demand
Which would decrease the firms
demand for a particular resource
A decrease in the productivity of
the resource
In a purely competitive industry,
which of the following would cause a firms marginal revenue product for an economic resource to increase
An increase in the demand for the
firms product
From 2008 to 2018 it is estimated
that there will be a fall in demand for
Sewing machine operators
From greater relative scarcity of
heart sergeant as compared with clerical workers could be partly accounted for
all of the following except
A heart sergeant derives a greater
level of satisfaction.
According to component of human
capital theory education,
Increases a workers’ productivity
TF If a price of a product produced by an input
decreases the qty demanded but not demand, the input will also decrease
False
TF Assume that capital and labor are
substitutes in production, the output affect of an increase in the price of
capital decreases the demand for labor
True
TF A monopstis is the only seller of
a good or service in a market area
False
TF In demand enhancing union model, the union increases the wage rate by
increasing labor demand through actions that increase product demand, raise
productivity or alter the price of related inputs
True
TF Occupational licensing is a means
of decreasing the supply of specific kinds of labor
True
Which is an example of a non cash
transfer
Medicare
Which contributes more to the
reduction of income inequality
Transfer Payments
Suppose that gene earns 10000 in
year one and 100000 in year two. Jim earns 1000 year one, 10000 year 2, is
there income inequality for the two individuals.
The annual data indicate
inequality but the two year indicate quality
One of the major causes of income
inequality is the difference in
Education
Which would be a significant cause
of income inequality in the USA
Discrimination
The wages and salaries that people
earn differ partly because of differences in
Ability
The flow of wages and salary earning
along with grant interest and profits is considered
Income
A stock reflecting at a given time
the finical and real assets an individual is
Wealth
Which would best be considered
part of income
Wages and salaries
Which is a cause of growing income
inequality in the US in the last decade
The widening wage gap between
skilled and unskilled workers
TF The data from the distribution of
personal incomes for households in the US indicates that there is a
considerable income equality
False
TF About ¼ of all American households
have annual incomes of 100000 or more
False
TF the distribution of personal income
in the US is significantly more equal after taxes and transfer payments are
taken into account.
True
TF During the past 35 years, the degree of income
inequality has decreased considerably
False
TF Those who favor inequality in the
distribution of income contend that it will lead to stronger incentives to work
save and invest in thus to a greater national income and output
True
The burden of taxes in the USA is
On the low end when compared to
the other industrial countries of the world
Transfer payments are about X
percent of US domestic output
15%
Total amount of US tax revenue
needed to finance the public sector,
Is larger today as a percentage of
total output than the 1960
The largest source of tax revenue
in the US federal government is
Personal income tax
The largest category of federal
spending is for
Pensions and income security
A progressive tax is such that
The same tax applies to all income
receivers so that the rich pay more taxes than the poor
The ability to pay principle of taxation
Suggest that the tax burden should
vary directly with the people’s income and wealth.
Which of the following is correct
The federal tax system is
progressive while the state and local tax systems are regressive
Sales and excite taxes are levied
over retailers but retailers add these taxes in the prices of the product, This
illustrates that
The ability to pay principal
taxation
Which of the following taxes is
the least likely to be shifted?
Personal income tax
TF The largest source of local governments
revenue is the sales tax
False
TF A tax is progressive if the
average tax rises as income increases
True
TF A tax is progressive if the
average tax rises as income increases
True
TF The marginal tax rate is the tax
rate that applies to additional income
True
TF Benefits that receive principle of
taxation is used to support cooperate personal income taxes
