The main avenue by which a temporary change in government purchases in the classical model affects the labor supply is by
A) changing the population.
B) affecting the value of the stock market.
C) increasing business confidence.
D) affecting workers' wealth.
D
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In May 2008, Switzerland co-hosted the international soccer tournament Euro 2008. At that time, the Swiss potato industry association had been warning there could be a fry shortage because there was a potato shortage
The shortage meant that in the French fry market A) the price for French fries would be higher. B) the price for French fries would be lower. C) if the efficient quantity of fries is produced, total surplus would be minimized. D) if the inefficient quantity of fries is produced, total surplus would be maximized.
What is the source of the U.S. fiscal imbalance and what are the painful choices that we face?
What will be an ideal response?
In the Baumol-Tobin analysis of transactions demand for money, either an increase in ________ or a decrease in ________ increases money demand
A) income; interest rate B) interest rates; brokerage fees C) brokerage fees; income D) interest rate; income
An important difference between perfect competition and monopoly is
A. the monopoly faces an inelastic demand curve and the perfect competitor faces an elastic demand curve. B. a monopoly is profitable and a perfect competitor is not. C. a monopoly is not regulated by the market, while a perfect competitor is regulated by the market. D. the monopoly faces a downward sloping demand curve and the perfect competitor faces a horizontal demand curve.