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The emergence of informal sectors in developing economies is due to the low income of the population. O heavy restrictions on businesses. the emergence of a service economy. O the lack of an industrial base. O the drug trade. Capital Marginal Revenue Product (in (in 1000's $) 1000's) 1000 2 800 3 650 4 525 5 425 6 335 7 255 8 180 Suppose the rental price of capital is $425,000. How many units should the firm hire to maximize profit? The firm should hire 3,000 units or, if fractional units are possible, less than 4,000 but more than 3,000 units. O The firm should hire 4,000 units or, if fractional units are possible, less than 5,000 but more than 4,000 units. O The firm should hire 5,000 units. O The firm should hire 6,000 units or, if fractional units are possible, less than 7,000 but more than 6,000 units. The firm should hire 7,000 units or, if fractional units are possible, less than 6,000 but more than 7,000 units. Which of the following is an example of physical capital? O A checking deposit O A car loan A firm's stock shares O A firm's bond O A new truck The slope of a linear production possibilities curve with trade is given by the O opportunity costs of the product in each country. relative price -the number of units of good A that can be obtained for one unit of good B. ratio of productivity of workers in two countries. O ratio of the elasticities of the product demand curves. O rise over run of a country's average total cost curve. Suppose a stock has a lower expected rate of return than a bank account. Then there will be an excess supply of the stock and its price will rise. there will be an excess supply of the stock and its price will fall. O there will be an excess demand for the stock and its price will rise. individuals will choose indifferently between the stock and the bank account. O risk-averse individuals will prefer the stock