Answer: 1. real GDP declined.
Explanation:
If labor productivity fell yet the workforce did not increase, that means that for Years 1 and 2, workers were producing less than they were producing before because the same number of people were producing.
This means that the amount of goods produced in the country would reduce and therefore GDP would reduce as well as GDP is the amount of goods and services produced in a country. If labor productivity had fallen yet the work-hours had increased, the increase in worker hours would have made up for the loss of labor productivity.
Answer:
Decrease by $1
Explanation:
Given:
Old data:
Q0 = 2,000 units
P0 = $20
Total revenue before change = 2,000 x $20 = $40,000
After change in Price.
Q1 = 2,100 units
P1 = $19
Total revenue After change = 2,100 x $19 = $39,900
Computation of Marginal Revenue:
Marginal Revenue = (P1 - P0) / (Q1 - Q0)
= ($39,900 - $40,000) / (2,100 - 2,000)
= -100 / 100
= $(-1)
Marginal revenue will decrease by $1
The purchase of land by Hanover, Inc. through the issuance of long term bonds should be reported on the statement of cash flows as
significant non cash investing and financing activity that merits disclosure.
Answer:
B. Opportunity Cost
Explanation:
Comparative Advantage is when an economy can produce certain goods & services at a lower opportunity cost than other trading economies.
Opportunity cost is the cost of next best option forgone while choosing a particular option.
Comparative advantage (production ability at lower opportunity cost) implies: Economy can produce a good/ service by sacrifising lesser amount of other good, than the other economy.
Example : Production Possibilities of 2 countries, 2 goods :-
Good X Good Y Opportunity Cost (Goods Ratio)
Country A 10 30 1:3 (10/30)
Country B 5 10 1:2 (5/10)
Country A can produce Good Y by sacrifising 3 units of Good X, Country B can produce Good Y by sacrifising 2 units of Good X. So, B can produce good Y at lesser opportunity cost than A. Hence, country B has comparative advantage in good Y.
