If one firm left a duopoly market where the firms did not cooperate then
a. price and quantity would rise
b. price would rise and quantity would fall.
c. quantity would rise and price would fall.
d. quantity and price would fall.
b
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The demand for a product produced in a perfectly competitive market permanently increases. In the short run, the price
A) rises and each firm produces less output. B) rises and each firm produces more output. C) does not change as new firms enter the industry. D) does not change because each firm produces more output.
Which of the following is the formula for calculating compound interest?
a. Compound interest = Future Value – Present Value b. Compound interest = Future Value + Present Value c. Compound interest = Future Value – Principal d. Compound interest = Present Value + Principal
Figure 36-3
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Which of the situations illustrated in Figure 36-3 shows the effects of a currency appreciation leading to real GDP growth?
A. 1 B. 2 C. 3 D. 4
Suppose a small economy produces only MP3 players. In year 1, 10,000 MP3 players are produce and sold at a price of $100 each. In year 2, 12,000 MP3 players are produced and sold at a price of $80 each. Which of the following statements is true?
A. Real GDP and nominal GDP both increase B. Real GDP increases while nominal GDP remains constant C. Real GDP decreases while nominal GDP increases D. Real GDP increases while nominal GDP decreases