If demand increases and supply decreases, quantity will
a. always increase
b. always decrease
c. increase only if supply decreases more than demand increases
d. increase only if supply decreases less than demand increases
e. decrease only if supply decreases less than demand increases
D
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The political business cycle refers to the phenomenon that just before elections, politicians enact ________ policies. After the elections, the bad effects of these policies (for example, ________ ) have to be counteracted with ________ policies
A) expansionary; higher unemployment; contractionary B) expansionary; a higher inflation rate; contractionary C) contractionary; higher unemployment; expansionary D) contractionary; a higher inflation rate; expansionary
In monopolistic competition there is/are
A) many sellers who each face a downward-sloping demand curve. B) a few sellers who each face a downward-sloping demand curve. C) only one seller who faces a downward-sloping demand curve. D) many sellers who each face a perfectly elastic demand curve.
Henry Ford
A. was the second automobile manufacturer to use a moving assembly line. B. was the first automobile manufacturer to manufacture a standardized engine with interchangeable parts. C. sold millions of cars at a small unit of profit that allowed his company to keep auto prices low and wages high. D. all of the statements are true.
A firm is likely to pay higher efficiency wages when:
A) it is easy to monitor workers. B) it is not easy to monitor workers. C) workers do not have a tendency to shirk at work. D) the minimum wages are set above the equilibrium wage rate.