When a tax is placed on the buyers of a product, buyers pay
a. more and sellers receive more than they did before the tax.
b. more and sellers receive less than they did before the tax.
c. less and sellers receive more than they did before the tax.
d. less and sellers receive less than they did before the tax.
b
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Firms often seek to borrow money to expand their capital stock, and the price they pay for that money is the interest rate. What happens to the quantity of money supplied if the interest rate increases?
A. It increases. B. It decreases. C. It does not change. D. It depends entirely on the interest rate.
Decision making is a process, what is the first step?
a. Define the decision b. Estimate resources c. Consider alternatives d. Imagine consequences
The distribution of money income can be represented graphically using
A) supply and demand diagrams. B) a Lorenz curve. C) a Keynesian curve. D) a Distribution curve.
Other things the same, as the price level falls, which of the following increases?
a. lending and investment spending b. lending, but not investment spending c. investment spending, but not lending d. neither investment spending nor lending