The figure above shows the market for umbrellas in Sunville. Suppose the quantity of umbrellas currently traded in Sunville is 199 per day. If one more umbrella is sold, the total surplus in Sunville will
A) decrease by $26.67.
B) increase by $26.67.
C) increase by $50.00.
D) not change.
B
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The above figure shows the U.S. market for wheat. With international trade, U.S. consumers buy ________ tons of wheat and U.S. producers produce ________ tons of wheat
A) 500,000; 500,000 B) 300,000; 500,000 C) 300,000; 700,000 D) 700,000; 300,000 E) 500,000; 700,000
Which of the following will increase the natural rate of interest?
A) An increase in the saving rate B) A decrease in inflationary expectations C) An increase in government spending D) A decrease in the money supply
If workers demand wage compensation in advance of inflation, the economy's aggregate supply curve will
a. have a positive slope. b. have a negative slope. c. be vertical. d. be horizontal.
A nation's comparative advantage is determined by
A. the total cost of production. B. the quantity of resources required to produce a unit of output. C. the opportunity cost of producing an item relative to a trading partner's opportunity cost of producing the same item. D. specialization in the production of all goods.