Equilibrium in the economy means
A) unemployment is zero.
B) quantities demanded and supplied are equal in all markets.
C) prices are not changing over time.
D) tax revenues equal government spending, so the government has no budget deficit.
B
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Discuss reasons why we see trade restrictions. Are any of these reasons valid?
What will be an ideal response?
An economic service need not be
a. useful. b. scarce. c. transferable. d. tangible.
For a given increase in aggregate demand, the steeper the short-run aggregate supply curve: a. the larger the increase in investment expenditure. b. the smaller the increase in the price level
c. the smaller the increase in real GDP. d. the larger the increase in real GDP. e. the smaller the increase in real interest rate.
Which of the following is not a short-run decision for a fisherman?
a. hire more fishing crew b. produce less fish c. buy a new fishing boat d. buy more bait e. purchase less fuel for the boat