The Eurozone is an example of a:
A) common market.
B) currency area.
C) free-trade area.
D) customs union.
Ans: B) currency area.
You might also like to view...
Hold-up problems usually occur when
a. One of the parties makes a heavy investment in equipment specific to its trading partner b. One of the firms decides to invest heavily in general purpose equipment c. Costs are avoidable d. Costs are incurred
It is difficult in a natural monopoly market for the firm to achieve both efficiency and zero economic profit simultaneously, even with regulation
a. True b. False Indicate whether the statement is true or false
Rochelle lost her job as a salesperson when sales fell off during the recession. Now she is looking for a new job. Rochelle is
A) not unemployed. B) frictionally unemployed. C) cyclically unemployed. D) structurally unemployed. E) none of the above.
Assume the multiplier is 5 and that the crowding-out effect is $30 billion. An increase in government purchases of $20 billion will shift the aggregate-demand curve to the
a. right by $130 billion. b. right by $70 billion. c. right by $50 billion. d. right by $10 billion.