Ceteris paribus, if Korea increases the size of its military, then its production:
A. Possibilities curve will shift outward.
B. Possibilities curve will shift inward.
C. Of consumer goods will increase.
D. Of consumer goods will decrease.
Answer: D. Of consumer goods will decrease.
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Which of the following statements is true?
A) The U. S. economy would gain from the elimination of its tariffs but not from the elimination of its quotas. B) The U.S. economy would gain from the elimination of tariffs and quotas even if other countries do not reduce their tariffs and quotas. C) Economic efficiency would be increased if the United States eliminated all of its trade restrictions, but only if all other countries eliminated their trade restrictions too. D) Eliminating its tariffs and quotas unilaterally would not benefit the United States because this would remove the leverage it would have to persuade other countries to eliminate their trade restrictions.
An increase in the expected inflation rate will
A) shift the short-run Phillips curve to the right. B) reduce the inflation rate. C) shift the short-run Phillips curve to the left. D) reduce the unemployment rate.
In 2008, the wealth of U.S. households fell by ________
A) $11 million B) $11 billion C) $11 trillion D) $11 gajillion
Transfer payments are
What will be an ideal response?