In the market for chewing gum, the current price is 50 cents per pack and 100,000 packs are sold. Which of the following events would lead to a new equilibrium price of 60 cents and quantity of 90,000 packs?
a. an increase in the price of other kinds of candy
b. an increase in the price of the ingredients used to make chewing gum
c. a decrease in the number of young people in the population
d. an agreement by workers in the chewing gum industry to work for lower wages
e. an increase in income
B
You might also like to view...
Refer to Figure 17-1. What should the Federal Reserve do if it wants to move from point A to point C in the short-run Phillips curve depicted in the figure above?
A) raise taxes B) raise the discount rate C) buy treasury bills D) sell treasury bills E) decrease the money supply
Which of the following is most sensitive to fluctuations in GDP?
a. government purchases b. government nonmilitary spending c. transfer payments d. military spending e. interest on the national debt
In 2014, the largest source of receipts for state and local governments was corporate income taxes
a. True b. False Indicate whether the statement is true or false
If population growth occurs while labor force participation does NOT increase,
A. a nation's labor resources will still continue to increase in both quality and quantity. B. per capita GDP is likely to increase sharply. C. economic growth will still continue because any population gain is a plus. D. there may be no increase in labor resources or economic growth.