Assume that a consumer purchases a combination of products Y and Z and that the MUy/Py = 25 and MUz/Pz = 20. To maximize utility, without spending more money, the consumer should:
A. Purchase less of Y and more of Z
B. Purchase more of Y and less of Z
C. Purchase more of both Y and Z
D. Make no change in Y and Z
B. Purchase more of Y and less of Z
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In 1997, the Thai government was unable to maintain its exchange rate given the amount of international reserves
Indicate whether the statement is true or false
The monetary base is also known as:
A. M1. B. M2. C. free reserves. D. high-powered money.
What are the effects of a tariff on a good?
What will be an ideal response?
An increase in aggregate demand in the economy will have what effect on macroeconomic equilibrium in the long run?
A) The price level will fall, and the level of GDP will rise. B) The price level will fall, and the level of GDP will fall. C) The price level will rise, and the level of GDP will fall. D) The price level will rise, and the level of GDP will be unaffected.