Suppose the market for tortillas is initially in equilibrium, but then the equilibrium wage rate and the equilibrium quantity of labor both increased. What happened in the market for tortilla?
A) The demand for tortillas increased.
B) The demand for tortillas decreased.
C) The supply for tortillas increased.
D) The supply for tortillas decreased.
Answer: A
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Refer to the below graphs. (Assume that the pre-migration labor force in Country A is 100 and that it is 150 in country B.) After immigration occurs, total business income in country B:
A. Increases by $475M
B. Increases by $50M
C. Decreases by $50M
D. Decreases by $475M
All of the following would increase the growth rate of the economy EXCEPT
A) raising the saving rate. B) stimulating research and development. C) discouraging international trade. D) None of the above answers is correct because they all would increase the growth rate.
All of the following are factors that raise economic development EXCEPT
A) establishing a legal system. B) an educated work force. C) reducing trade barriers. D) government control of the country's resources.
A straight line production possibilities curve implies increasing opportunity costs
a. True b. False Indicate whether the statement is true or false