Refer to the information. Given an increase in input price from $4 to $6, we would expect the aggregate:
Suppose that real domestic output in an economy is 20 units, the quantity of inputs is 10, and
the price of each input is $4. Answer the following question on the basis of this information.
A. supply curve to shift to the left.
B. supply curve to shift to the right.
C. demand curve to shift to the left.
D. supply and demand curves to both remain unchanged.
A. supply curve to shift to the left.
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Holding other factors constant, a decline in the price of new capital goods will:
A. increase national saving. B. increase investment. C. decrease national saving. D. decrease investment.
Holding everything else constant, the U.S. real exchange with Australia will increase if inflation is higher in the United States than in Australia
Indicate whether the statement is true or false
The following is NOT an example of a potential monitoring solution to moral hazard
a. blocking social network sites on company computers b. rejecting a job candidate that fails to show up at the allotted interview time c. GPS tracking devices in repair trucks d. listening in on call center conversations
The burden of a luxury tax falls
a. more on the rich than on the middle class. b. more on the poor than on the rich. c. more on the middle class than on the rich. d. equally on the rich, the middle class, and the poor.