Would the owner of a profit-maximizing fast-food establishment hire another worker for 55 per day if ...

Would the owner of a profit-maximizing fast-food establishment hire another worker for 55 per day if that worker added faster service, increasing sales and revenue by 98 per day? Why or why not?

QUESTION 2

_____ improves exchangeability, and reduces the cost of obtaining information about a good and about the parties involved in the transaction.
 a. De-integration
  b. Outsourcing
  c. Vertical integration
  d. Standardization

QUESTION 3

In economics
 A) costs are seen as all the previous opportunities
  B) costs are seen as the next best opportunity
  C) are measured in monetary units only.
  D) costs are only fixed.

QUESTION 4

Would an increase in the productivity of labor lead to an increase or a decrease in the demand for labor? Why?

QUESTION 5

Which of the following statistics confirm the rise in de-integration in the U.S. post 1970s?
 a. The average number of industrial sectors a firm operated in increased substantially in 1997.
  b. Employment in the business services industry that supplied contract employees grew by almost five times as much as non-farm employment.
  c. Between 1977 and 1999, imports of the U.S. firms from foreign affiliates as a percentage of total imports increased substantially.
  d. Between 1977 and 1999, imports of the U.S. firms from unrelated suppliers as a percentage of total imports declined.

QUESTION 6

Entrepreneurs reveal
 A) things that the market knew.
  B) things that the market did not know.
  C) things that the government knew.
  D) things that were previously known.

QUESTION 7

Which of the following is not likely to incorporate a great deal of economic rent?
 a. the salary paid to Paula Abdul as a judge on American Idol
 b. the price for dinner at a nice restaurant in a major city
 c. rental of beachfront property during the summer
 d. sale of piece the parquet floor previously in the famous Boston Garden