If orange juice and apple juice are substitutes, an increase in the price of orange juice will shift the demand curve for apple juice to the right
a. True
b. False
Indicate whether the statement is true or false
True
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Use the aggregate expenditures model and the following values to answer the next question.AMPCIGT$3500.75$400$400$200Determine the change in the equilibrium real GDP (find ?Y) following a decrease in government spending from 400 to 300 (?G = -$100).
A. positive $500 B. negative $400 C. positive $400 D. negative $500
When the credit demand curve is relatively flat:
A) the quantity of credit demanded is relatively sensitive to changes in the real interest rates. B) the quantity of credit demanded is relatively sensitive to changes in the taxation rates. C) the quantity of credit demanded is not responsive to changes in the taxation rates. D) the quantity of credit demanded is not responsive to changes in the real interest rate.
Economic models have become much simpler in recent years
Indicate whether the statement is true or false
What do wages paid to factory workers, interest paid on a bank loan, forgone interest, and the purchase of component parts have in common?
A. None are either implicit or explicit costs. B. All are opportunity costs. C. All are implicit costs. D. All are explicit costs.