The domestic demand and supply for sugar are Qd = 700 ? 2P and QSD = 100 + 4P. The foreign supply is QSF = 150 + 3P. Suppose an import quota of 100 is imposed in the domestic market. What will be the new market price of sugar?
A. 90
B. 100
C. 62.50
D. 110
Answer: C
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Which of the following statements is true of the unemployment rate in a country?
A) It is not correlated with the level of economic activity in a country. B) It normally decreases during periods of both economic expansion and contraction. C) It normally increases during periods of economic expansion and decreases during periods of economic contraction. D) It normally decreases during periods of economic expansion and increases during periods of economic contraction.
A period of expansion in the business cycle ends when
A) the business cycle reaches its peak. B) the business cycle reaches its trough. C) real GDP is less than potential GDP. D) real GDP is equal to potential GDP.
Evaluate critically the following statement: The developed countries have all shown a significant increase in the numbers of university-trained workers as incomes have risen; thus the development of a solid university system should be among the
major priorities of developing countries.
Phase of the business cycle during which the economy is growing more slowly than usual
What will be an ideal response?