The maximum legal price that can be charged in a market is:
A. the market equilibrium price.
B. a price floor.
C. a price ceiling.
D. an ad valorem tax.
Answer: C
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According to your textbook, the benefits of civilization are heavily dependent on
A) accurate numerical estimates by government officials of available resources and of basic consumption requirements. B) agreement among the members of society on the best means for achieving their goals. C) agreement among the members of society on the goals to be pursued. D) government planning for long-run economic growth. E) the ability to induce other people to cooperate.
If, at the current exchange rate between the dollar and the South African rand of 6.92 rand per dollar, the rand is "undervalued," how do you expect demand and supply in the foreign exchange markets to respond?
A) The supply of the dollar will rise, while the demand for the rand will fall. B) The supply of the dollar will rise, while the demand for the rand will rise. C) The demand for the dollar will rise, while the supply of the rand will fall. D) The demand for the dollar will fall, while the supply of the rand will rise.
Which of the following is true of resources?
a. Resources are inputs used to produce goods and services. b. Labor is the mental and physical capacity of workers to produce goods and services. c. Entrepreneurship organizes resources to produce goods and services. d. All of these are true.
A period of stagflation is the normal aftermath of a period of
a. excess aggregate supply. b. deficient aggregate demand. c. excess aggregate demand. d. high unemployment rates.