The short-run aggregate supply curve in modern Keynesian analysis is
A. horizontal.
B. upward sloping.
C. vertical.
D. downward sloping.
Answer: B
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The Social Security program is financed directly from
A) voluntary contributions by the elderly. B) sales taxes on goods with inelastic demand. C) payroll taxes. D) poll taxes.
In this case the firm should
a. Produce both the versions and price discriminate since doing so gives a higher revenue b. Produce only the no-brand version c. Produce only the hi-end professional series d. Exit the marketplace
Frictional unemployment
a. would be eliminated if the economy were more stable. b. would be eliminated if the minimum wage were raised. c. is the result of workers' skills not matching the jobs available. d. is present even when labor markets are working well.
The quantity of pencils sold is 1000 at the unit price $0.5. Suppose the price elasticity of demand for pencils by the initial value method is 2, and you would like to increase the quantity sold to 1200. Then the new price for pencils must be:
A. $0.05. B. $0.25. C. $0.30. D. $0.45.