An increase in output will cause the unemployment rate to fall by a larger percentage if
A. firms are holding excess labor.
B. firms have their workers work more overtime.
C. firms hire workers who were already employed by other firms to work for them part-time.
D. firms aren't holding excess labor.
Answer: D
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What do demand and marginal revenue curves look like in monopolistic competition? How do they compare to the demand and marginal revenue curves in perfect competition and monopoly?
What will be an ideal response?
In monopolistic competition, each firm has a demand curve with a ________ and there ________ barriers to entry into the market
A) negative slope; are no B) slope equal to zero; are no C) negative slope; are D) slope equal to zero; are
The quantity equation states that
A) M + V = P + Y. B) the money supply (M) divided by the velocity of money (V) equals the price level (P) divided by real output (Y), i.e., M/V = P/Y. C) M × V = P × Y. D) M - V = P - Y.
Suppose our economy is in macroeconomic equilibrium with an upward-sloping aggregate supply curve and a downward-sloping aggregate demand curve. An increase in aggregate demand will
A. increase aggregate supply. B. decrease the price level. C. cause the aggregate supply curve to shift to the right. D. increase real GDP.