Economies of scale:
A. Occur when an increase in input causes a less than proportionate increase in output
B. Suggest that firm's marginal cost curve lies above its average cost curve
C. Suggest that the firm's marginal cost curve lies above its average cost curve
D. None of these
A. Income per worker
B. Income per head
C. Income per household
D. Income per industrial unit
If indirect taxes are deducted from NNP and subsidies are added, we achieve:
A. Personal savings
B. DPI
C. NI
D. Per capita income
Transfer payments are not included in national income because:
A. Such payments are made to persons living abroad
B. Double counting would result
C. They are illegal
D. There is no method to account for these
To determine the correct level of GNP, it is necessary to:
A. Add up the values of goods and services during one year
B. Add up all savings
C. Count all imports
D. Add up the value of semi finished goods