Which of the following is not an advantage of cost-plus pricing?
A) If a firm is selling multiple products, it ensures that the firm's prices will cover costs that are difficult to assign to one product.
B) It ensures that the firm will maximize its profits.
C) It is easy to calculate.
D) It requires little information.
B
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Proponents of ISI assumed that governments
A) were capable of identifying and correcting market failures. B) were capable of identifying and correcting the excesses of economic populists. C) should enact orthodox stabilization plans. D) could control the terms of trade. E) Both A and D.
The main categories of taxes levied by the ______________ government are individual income taxes, corporate income taxes, and social insurance and retirement receipts.
a. federal b. state c. local d. city
According to the modern view, the impact of expansionary monetary policy will
a. be the same in the long run as in the short run. b. be the same regardless of whether the effects of the policy are anticipated or unanticipated. c. initially be an increase in real output if the policy is unanticipated, but in the long run, the primary result will be a higher price level (inflation). d. initially be an increase in prices if the policy is unanticipated, but in the long run, the primary result will be larger real output.
What causes the aggregate supply curve to have an upward slope in the short run, but a vertical slope in the long run?
What will be an ideal response?