Refer to the information provided in Figure 26.8 below to answer the question(s) that follow.
Figure 26.8Refer to Figure 26.8. This economy cannot continue to produce Y2 (or at Point D) because
A. the price of inputs will increase, shifting the aggregate supply curve to AS1.
B. the price of raw material will decrease, shifting the aggregate demand curve to AD1.
C. the price of raw material and wages will decrease shifting the aggregate supply curve to AS2.
D. all of the above.
Answer: C
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Refer to Scenario 14.1. Marco and Lisette decide to help each other out and agree to split any medical bills from their doctor. With this new arrangement, Marco's dominant strategy will give him a net benefit of
A) $45. B) $75. C) $120. D) $150.
Bond rating agencies are important in the channeling of funds to __________ firms in __________-oriented systems
A) small; banking B) small; markets C) large; banking D) large; markets
A tariff placed on a foreign good will
A) reduce the price of a competing domestic good. B) increase the price of a competing domestic good. C) increase the quantity sold of both the foreign and competing domestic good. D) reduce the quantity sold of both the foreign and competing domestic good.
In a perfectly competitive market, the products sold can be described as:
(a) Homogenous; (b) Complementary; (c) Close substitutes; (d) Both (a) and (c) are correct.