With demand-pull inflation in the extended AD-AS model, there is:
A. A decrease in aggregate demand and a decrease in unemployment that eventually increases nominal wages
B. An increase in aggregate demand and a decrease in unemployment that eventually decreases nominal wages
C. An increase in aggregate demand and an increase in unemployment that eventually decreases nominal wages
D. An increase in aggregate demand and a decrease in unemployment that eventually increases nominal wages
D. An increase in aggregate demand and a decrease in unemployment that eventually increases nominal wages
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If only current income is considered, beer taxes are _____. If lifetime income is considered, however, beer taxes are _____
a. regressive; progressive b. regressive; proportional c. progressive; regressive d. proportional; progressive
Suppose a consumer is willing to pay $20 for one good X, $10 for a second, and $5 for a third, and the market price is $4 . The consumer surplus is:
a. $16 b. $6. c. $1 d. $23.
Businesses often center production activities around
A) agents. B) teams. C) principals. D) principals and agents.
For an individual, opportunity costs
a. decrease as consumption increases. b. include only the monetary costs of goods and services. c. reflect resource scarcity. d. reflect the fact that wants are unlimited. e. reflect the fundamental assumption that "more is better."