Which of the following statements is valid when the market supply curve is vertical?
a. Market quantity supplied does not change when the price changes.
b. Supply is perfectly elastic.
c. An increase in market demand will increase the equilibrium quantity.
d. An increase in market demand will not increase the equilibrium price.
a
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In the above figure, a black market emerges with a
A) price ceiling of $4. B) price floor of $2. C) price floor of $4. D) a rationed quantity 30.
Which of the following policy measures created an Office of Credit Ratings at the SEC with its own staff and the authority to fine credit-rating agencies and to deregister an agency if it produces bad ratings?
A) the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010 B) Sarbanes-Oxley Act of 2002 C) Global Legal Settlement of 2002 D) Gramm-Leach-Bliley Act of 1999 E) Riegle-Neal Act of 1994
Universal life insurance was created in response to
A) the popularity of whole life insurance. B) the popularity of variable life insurance. C) high interest rates. D) deregulation of banking.
Which EU country has NOT adopted the euro?
A) Germany B) France C) Denmark D) Greece