If resource prices are flexible, the long-run aggregate supply curve is vertical.
a. true
b. false
a. true
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Last year, Casey grew fresh vegetables, which she sold at her local farmers market, but this year, Casey did not plant any vegetables and went to work at a bank instead. If Casey's decision to change careers did not affect the price of vegetables at the farmers market, then this suggests that:
A. the market demand for vegetables is perfectly inelastic. B. the demand for vegetables increased this year. C. the demand for vegetables did not change. D. the market for vegetables is perfectly competitive.
The President of the United States appoints the
A) directors of the Federal Reserve regional banks. B) presidents of the Federal Reserve regional banks. C) Federal Advisory Council. D) members of the Board of Governors of the Federal Reserve.
The increase in extremely expensive lifesaving treatments is a primary cause of the rise in health insurance because _____
a. people want to protect against low probability, expensive events b. people view insurance as a down payment on a predicable event c. people want to protect against low probability, inexpensive events d. individuals want to protect themselves from being gouged by doctors who know they need a lifesaving operation
Which one of the following is not a function of a Central Bank?
(a) Issuer of currency. (b) Banker to the general public. (c) Banker to the government. (d) Lender of last resort.