People will buy more of an inferior good when their income decreases
Indicate whether the statement is true or false
TRUE
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According to this Application, because Argentina pegged its currency to the U.S. dollar, the appreciation of the dollar caused a large trade deficit in Argentina. This trade deficit meant that
A) the demand for Argentinean pesos exceeded the supply of the pesos. B) the demand for Argentinean pesos exceeded the supply of U.S. dollars. C) the supply of Argentinean pesos exceeded the demand for the pesos. D) the supply of Argentinean pesos exceeded the demand for U.S. dollars.
Which of the following statements about the private production of a public good is true?
a. Private production is not feasible unless government subsidizes it. b. Private production is only possible for pure public goods. c. Private production is always inefficient. d. Private production is provides useful information about consumer preferences.
All of the following are reasons for immigration to a foreign country, except that:
a. the domestic country may be politically repressive. b. there is an abundance of employment opportunities in the domestic country. c. the domestic country is economically stagnant. d. there is no scope for upward mobility in the domestic country. e. there are religious prosecutions.
According to Keynesians, an increase in the money supply will have its greatest impact on GDP when the aggregate demand curve intersects:
A. the vertical portion of the aggregate supply curve. B. the upward sloping portion of the aggregate supply curve. C. the horizontal portion of the aggregate supply curve. D. either the upward sloping or the vertical portions of the aggregate supply curve.