If farmers expect the government to increase subsidies on corn grown next year for ethanol production, we should not be surprised to observe
A. a decrease in corn production.
B. a decrease in wheat production.
C. a decrease in ethanol production.
D. all of the above.
Answer: B
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The concept of an optimal currency area arose from the debate over whether fixed or flexible exchange rates are better
Indicate whether the statement is true or false
Other things constant, an increase in resource prices will do which of the following?
What will be an ideal response?
Which of the following would increase the net export component of U.S. GDP?
A. A bottle of French wine is purchased in New York B. A bottle of California wine is purchased in London C. A car produced in Michigan is purchased in Louisiana D. A car produced in Japan is purchased in California
A country that runs a trade surplus increases current consumption at the expense of future consumption.
Answer the following statement true (T) or false (F)