Which of these statements best describes a flow variable?
a. An economic variable that measures something at a particular point in time
b. An economic variable whose value is determined by the market
c. An economic variable that is measured per unit of time
d. An economic variable whose value shows no change over time
e. An economic variable that remains static when other related variables change
c
You might also like to view...
Compared to dollarization, a currency board
A) has a flexible exchange rate. B) has a separate currency. C) conducts independent monetary policy. D) is the same institution.
If the government imposes price controls and prevents prices from adjusting naturally to supply and demand, a. it equates the amount buyers are willing and able to buy with the amount sellers are willing and able to supply. b. it adversely affects the allocation of resources
c. it improves both equality and efficiency. d. it improves efficiency.
The analysis of oligopolistic behavior is difficult because
A. there are few real-world examples of oligopolies for economists to study. B. oligopolists make decisions independently of each other. C. firms in oligopolistic industries react to each other’s behavior in many ways. D. economists have paid little attention to the topic in recent years and so have not yet applied to it the techniques of modern economic theory.
If consumers view cappuccinos and lattes as substitutes, what would happen to the equilibrium price and quantity of lattes if the price of cappuccinos rises?
A) Both the equilibrium price and quantity would increase. B) Both the equilibrium price and quantity would decrease. C) The equilibrium price would increase, and the equilibrium quantity would decrease. D) The equilibrium price would decrease, and the equilibrium quantity would increase.