An increase in an individual's income without changing relative prices will:
a. rotate the budget constraint about the X-axis.
b. shift the indifference curves outward.
c. shift the budget constraint outward in a parallel way.
d. rotate the budget constraint about the Y-axis.
c
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The demand curve for a typical good has
A. a negative slope because consumers purchase less of the good as the price rises. B. a negative slope because the supply of the good rises as demand rises. C. a negative slope because the good has less “snob appeal” as its price falls. D. a positive slope because as the price goes up, the good has more profitability. E. a positive slope because price is a clear indicator of need.
Even though the average income in the United States has continued to grow, the poverty rate has increased to over 20% since the early 1970s
a. True b. False Indicate whether the statement is true or false
Which of the following is an example of a monopoly?
A.) One large firm supplies the entire product to the market B.) One firm supplies 60 percent of the product to the market and there are two other rival firms C.) Many firms supply the same product essentially, but each has significant brand loyalty D.) A few large firms supply the entire product to the market
Studies comparing growth rates of countries practicing Import-Substituting Industrialization (ISI) with growth rates of countries using policies that emphasize expansion of exports have found
A. higher growth rates in those countries practicing ISI. B. little difference in growth rates between the two groups of countries. C. higher growth rates in those countries using policies that emphasize export expansion. D. no evidence that either type of policy has been successful.