Suppose that in 2018, all prices in the economy double and that all wages and salaries also double. In 2018 you
A) are worse off than you were in 2017 as you can no longer afford to buy as many goods and services.
B) are better off than you were in 2017 as your salary is higher than it was in 2017 and you can now buy more goods and services.
C) are no better off or worse off than you were in 2017 as the purchasing power of your salary has remained the same.
D) cannot determine whether you are better off or worse off than you were in 2017, because the purchasing power of your salary cannot be determined.
Answer: C
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Suppose Campus Books, a profit-maximizing firm, is the only supplier of the textbook for a given class. The marginal cost of supplying each book is constant and equal to $10, and Campus Books has no fixed costs. The table below shows the reservation prices of the eight students enrolled in the class.StudentReservation Price($/Book)Q60R54S48T42U36V30W30X30 What is the socially optimal number of books?
A. 6 B. 7 C. 5 D. 8
When a government must operate on a balanced budget, it means that there is no ________ or ________
A) unemployment; special taxes B) surplus; deficit C) bonds being issued; purchased D) borrowing; printing of money
The real minimum wage rate
A) has generally decreased during the 1970s and 1980s and has fluctuated around a $6.50 per hour average since the mid-1980s. B) has stayed in the range between $6 and $5 (measured in 2009 dollars per hour) since 1967. C) fell after 1967 until it reached a minimum around 1985 and has generally risen since then. D) was at its highest level in 1995. E) has generally increased since 1967.
At a recent faculty meeting, Lorraine Waverly, president of Skywalker College, announced that enrollment is up by 12 percent over the previous semester
If enrollment the previous semester was 3,250 students, what is the student enrollment this semester? A) 390 B) 2,860 C) 3,640 D) 4,030