The aggregate supply curve is downward sloping because buyers tend to purchase more of all goods and services as the price level decreases
a. True
b. False
Indicate whether the statement is true or false
False
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One part of a perfectly competitive trout farm's supply curve is its
A) marginal cost curve below the shutdown point. B) entire marginal cost curve. C) marginal cost curve above the shutdown point. D) average variable cost curve above the shutdown point. E) marginal revenue curve above the demand curve.
According to aggregate demand and supply analysis, the rising oil prices coupled with the global financial crisis in 2007-2008 caused the unemployment rate to ________ and the level of real aggregate output to ________
A) increase; increase B) increase; decrease C) decrease; increase D) decrease; decrease
If you included both time and entity fixed effects in the regression model which includes a constant, then
A) one of the explanatory variables needs to be excluded to avoid perfect multicollinearity. B) you can use the "before and after" specification even for T > 2. C) you must exclude one of the entity binary variables and one of the time binary variables for the OLS estimator to exist. D) the OLS estimator no longer exists.
"Market making"
a. is the action of bringing together high value buyers and low value sellers b. transfers goods from their low value uses to high value uses, creating wealth c. can not occur if the transaction costs are too high to prevent value creating transactions d. all of the above