module 37 quiz

The government of Florida is considering raising the state sales tax from the current 6% to 10% starting in January of next year. If the sales tax is applied to all goods, and the state government does not change the tax on labor income, what will likely happen? -The quantity of labor demanded will decrease, but the demand for labor will not change. -The demand for labor will decrease. -The supply of labor will increase. -There will be no change in the labor market.

-The demand for labor will decrease.

The factor market and factor prices play an essential part in the -allocation of income. -allocation of resources. -distribution of goods and services. -allocation of finance

-allocation of resources.

For the San Francisco Giants baseball team, the value of the marginal product curve is the team's labor _____ curve. This means the marginal product curve has a _____ slope. -demand; positive -supply; positive -demand; negative -supply; negative

-demand; negative

The value of marginal product of a factor shows how much an additional unit of a factor adds to -profitability. -the level of production. -unit costs. -dollar revenue.

-dollar revenue.

Factor distribution of income describes the relationship between -capital and total income. -factor ownership and total income. -technology and total income.

-factor ownership and total income.

Improvements in labor created by education and knowledge that are embodied in the workforce are _____. -land -labor -physical capital -human capital

-human capital

The factors of production are human capital, labor, physical capital, and _____. -construction availability -land -raw capital -education

-land

As a rule, a profit-maximizing dance studio owner employs each factor of production up to the point at which the value of the marginal product of the _____ unit of the factor employed is _____ that factor's price. -first; greater than -last; equal to -first; equal to -last; less than

-last; equal to

Angus buys a new tractor for his wheat farm. b. Cecile buys textbooks and notebooks so she will be ready for the new school year. c. Bruce goes back to school to learn a new computer programming language. d. Ethel learns to use a keyboard so she can produce her weekly newspaper column faster than she can when writing it by hand. e. The local sugar factory hires Daniel and trains him in the use of the factory's processing machinery.

-physical capital -physical capital -human capital -human capital -human capital

The marginal product of a factor shows how much an additional unit of a factor adds to -unit costs. -dollar revenue. -profitability. -the level of production.

-the level of production.

If the wage rate falls, firms will find that: -their labor demand curve shifts leftward. -their labor demand curve shifts rightward. -they move upward and to the left along the labor demand curve. -they move downward and to the right along the labor demand curve.

-they move downward and to the right along the labor demand curve.

What would cause VMPL to shift left or right? -rise in the price of apples -fall in the prices of apples -improvements in automated picking technology -decrease in land cultivated -increase in land cultivated

shift right -rise in the price of apples -increase in land cultivated shift left -fall in the prices of apples -improvements in automated picking technology -decrease in land cultivated