.If policy makers believe that an inflationary boom is about to begin, the Keynesian view indicates that they should
What will be an ideal response?
decrease government spending and/or raise taxes.
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The difference between ________ is known as the trade balance
A) consumption and imports B) investment and consumption C) exports and imports D) production and exports
Pay-As-You-Throw programs that charge people a small price for each bag of trash they throw out are likely to ________
A) increase waste creation B) increase recycling and reuse C) increase the social cost of waste disposal D) reduce social surplus
The iconic American drink-maker, Coca-Cola, announced plans in 2008 to buy the dominant Chinese fruit juice company for $2.5 billion. But China just rolled out a new law to guard against business monopolies
How would this rent-seeking behavior by Coca-Cola most likely affect efficiency in the drink market? A) Profit would increase. B) Producer surplus would increase. C) Consumer surplus would decrease. D) Deadweight loss would increase.
Firms in perfect competition sell differentiated products
Indicate whether the statement is true or false