Situation 32-1 In the early 1980s, the U.S. automobile industry managed to influence the government to negotiate a voluntary export restraint agreement with Japan that was in effect from 1981 until 1985. The predictable result was an average increase in the price of Japanese cars by about $1,000 and of U.S. cars by about $370. Also, as a result of the import quotas, 26,000 new jobs were "created"
in the U.S. automobile industry. Refer to Situation 32-l. This episode can be seen as an instance of
A) rational ignorance.
B) logrolling.
C) special interest politics.
D) a zero sum game.
C
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Public schools in the United States get most of their operating funds from
A) income taxes on corporate profits. B) tariffs collected on imported goods. C) local property taxes. D) government production and subsidies.
A fixed exchange rate system reduces the impact of
A) variations in the demand for real money balances on real incomes. B) the volatility of aggregate expenditures on real incomes. C) crowding out from fiscal expenditures. D) the beggar-thy-neighbor effect.
Equity instruments are traded in the ________ market
A) money B) bond C) capital D) commodities
Which of the following would reduce the supply of an athletic trainer's services at today's wage rate, other things constant?
a. a reduction in the individual's income from other sources b. an improvement in the quality of the work environment c. an increase in the amount of control the trainer has over the use of time on the job d. a trainer's future earning possibilities go down due to a new negative image associated with this work e. an increase in the trainer's preference for this type of work