Which of the following is the most likely cause of a recession according to the real business cycle model?
a. an unanticipated change in the money supply.
b. an increase in taxation, government spending, and regulation.
c. a fall in expected profits.
d. an anticipated change in the money supply.
e. none of the above.
B
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In the above table, the fact that there is a minus sign before the number for unilateral transfers means that
A) Country X has significant inflation. B) Country X imported more goods than it exported. C) Country X received more in foreign aid than it gave in foreign aid. D) Country X gave more to foreign residents than foreign residents gave to Country X.
Assume that Samorola has entered into an enforceable resale price maintenance agreement with Trint and U-Mobile. Which of the following will always be true?
a. The wholesale price of Samorolas will be different for Trint than it is for U-Mobile. b. U-Mobile will benefit from customers who go to Trint for information about different mobile phones. c. Trint will sell Samorolas at a lower price than U-Mobile. d. U-Mobile and Trint will always sell Samorolas for exactly the same price.
A fall in prices of imported resources will cause aggregate:
a. Demand to increase b. Demand to decrease c. Supply to decrease d. Supply to increase
If firms pollute when they produce:
a. marginal social cost equals marginal private cost. b. marginal private cost exceeds marginal social cost. c. marginal social cost exceeds marginal private cost. d. marginal social cost equals marginal external cost.