Answer: c. No, since the MC and AVC curve intersect at the minimum of AVC
Explanation:
Marginal cost is the cost of producing one extra unit of a product while average cost is the average of all the units produced so far. Therefore, when Marginal cost is low, it pulls the average costs down with it because it will be lower than the Average costs.
However, as Marginal costs start to rise, average cost will still be low because it is taking into account the lower previous marginal costs. Marginal cost will then keep rising until it intersects the average costs at it's minimum. Once this happens Average cost will start being pulled up because the current high costs will on average eclipse the current low costs.
Answer:
The correct answer is C. If the government passes a law that reduces unemployment benefits in a way that causes unemployed workers to seek out new jobs more quickly. The policy will cause the natural rate of unemployment to fall, which will shift the long-run aggregate supply curve to the right
.
Explanation:
Unemployment occurs when there is a greater supply of labor than what is demanded. This means that there are people who seek employment at the regular wage rates, but who are unable to get employment in the open labor market. Unemployment also means that people who actually want to work (and who are unemployed) cannot work with what they are qualified for.
Unemployment is a social problem, and low unemployment and high employment are important in order to develop and maintain a welfare society. For each individual, work is the most important insurance for their own welfare and social inclusion.
If the aforementioned law were approved, and the unemployed began to look for work imminently (even leaving aside some pretensions), many of them would get a job in a shorter time than if this law were not approved, which would decrease the country's unemployment rate.
Answer:
The answer is 5000 future contracts
Explanation:
Solution
Given that:
Royal Dutch buys ethanol fuel from Brazilian energy company
Nowm,
The Required coverage = 500,000,000
The BRL/USD futures contract size = 100,000
Number of contracts required = 500,000,000/100,000
So,
= 500,000,000/100,000 = 5000
Therefore, the optimal number of BRL/USD futures contracts for Shell to take to receive the entire amount of Real at delivery is 5000
Answer:
Market risk premium.
Explanation:
The difference between average annual returns on common stocks and returns on long-term government bonds is called a market risk premium.
Basically, market risk premium is typically determined by taking the slope of a security market line (SML); which is used by economist as a graphical representation of the capital asset pricing model (CAPM).
Market premium risk is used to determine the quantitative measure of the extra return demanded by market participants for the increased risk.
Answer:
C
Explanation:
One reason people do not get enough to eat in a country is because some crops are grown for export, leaving little to consume internally.
The amount of money made by expoting this crops is more beneficial to the economy and to the farmers that they prefer to export than to sell locally.This akes the crops scare in the country and equally very expensive.
