Refer to the information provided in Figure 5.7 below to answer the question(s) that follow.
Figure 5.7The above figure represents the market for pumpkins both before and after the imposition of an excise tax, which is represented by the shift of the supply curve.Refer to Figure 5.7. The amount customers will pay per pumpkin after the imposition of the tax is
A. $1.75.
B. $3.00.
C. $4.25.
D. $7.25.
Answer: D
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Starting from long-run equilibrium, a decrease in autonomous investment results in ________ output in the short run and ________ output in the long run.
A. lower; potential B. higher; higher C. higher; potential D. lower; higher
The purchase or building by a corporation of a facility in a foreign country is called
A) foreign direct investment. B) foreign capital depreciation. C) foreign portfolio investment. D) globally-directed investment.
Refer to Figure 26-7. Suppose the Fed sells Treasury Bills in pursuit of contractionary monetary policy. Using the static AD-AS model in the figure above, this situation would be depicted as a movement from
A) B to C. B) C to B. C) B to D. D) C to D. E) A to B.
If a pension fund has sufficient contributions and earnings to pay benefits, it is said to be
A) underfunded. B) at par. C) fully funded. D) over par.