Which of the following would lead to a positive supply shock?
a. An increase in the money supply.
b. A decrease in taxes.
c. The discovery of a more efficient production method.
d. An increase in consumer confidence.
e. An increase in energy prices.
C
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New smartphone applications are developed to help consumers find the cheapest prices in the neighborhood. As a result,
A) firms get greater market power. B) consumers' search costs are greatly lowered. C) firms are able to charge higher prices. D) only smart markets become more competitive.
Which of the following is a career that could result from majoring in economics?
a. Management b. Government c. Banking d. All of these choices
Unions
a. do not affect the natural rate of unemployment. b. lower the wages of unionized workers. c. raise the profits of unionized firms. d. lower the wages of workers in industries without unions.
The variance of a portfolio containing n assets with independent returns:
A. increases as n increases. B. decreases as n increases. C. does not change in a predictable way when n increases. D. is constant for any n greater than two.