Pens are normal goods. What will happen to the equilibrium price of pens if the price of pencils rises, consumers experience an increase in income, writing in ink becomes fashionable, people expect the price of pens to rise in the near future, the population increases, fewer firms manufacture pens, and the wages of pen-makers increase?
a. Price will rise.
b. Price will fall.
c. Price will stay exactly the same.
d. The price change will be ambiguous.
a
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Based on labor-market studies using regression analysis, once productivity-related characteristics are accounted for, the remaining wage gap between young and educated women and men is approximately
A) 2%. B) 5%. C) 15%. D) 20%.
Which of the following correctly identifies an argument against globalization?
A) Globalization limits the bundle of goods and services available in smaller countries. B) Globalization leads to an exploitation of developed countries. C) Globalization can lead to a loss of indigenous culture and tradition. D) Globalization works against free trade.
Which of the following could not possibly be included in the same market as Coke?
A) Pepsi B) Gatorade C) Milk D) Bread
To say that a price ceiling is nonbinding is to say that the price ceiling
a. results in a surplus. b. is set above the equilibrium price. c. causes quantity demanded to exceed quantity supplied. d. All of the above are correct.