In an open economy, the quantity demanded of TVs in the domestic market will be ________. 
A. 120,000
B. 30,000
C. 90,000
D. 60,000
Answer: C
You might also like to view...
Suppose the base reference period is 1982-1984. If your nominal wage rate is $8.00 per hour when the CPI is 180, what is your real wage rate in 1982-1984 dollars?
What will be an ideal response?
Voluntary exchange
A) will eliminate scarcity. B) is a nonprice rationing device. C) is trading so that the consumer and producers are better off. D) never involves transactions costs.
Investment spending
a. cannot be stimulated by decreasing the interest rate. b. is often the cause of business fluctuations in the United States. c. is a remarkably stable function of the level of real GDP. d. is the primary solution to recessions and inflations, according to John Maynard Keynes.
Walter used to work as a high school teacher for $40,000 per year but quit in order to start his own painting business. To invest in his painting business, he withdrew $20,000 from his savings, which paid 3 percent interest, and borrowed $30,000 from his uncle, whom he pays 3 percent interest per year. Last year Walter paid $25,000 for supplies and had revenue of $60,000 . Walter asked Tyler the
accountant and Greg the economist to calculate his painting business's costs. a. Tyler says his costs are $25,900, and Greg says his costs are $66,500. b. Tyler says his costs are $25,000 . and Greg says his costs are $65,000. c. Tyler says his costs are $66,500, and Greg says his costs are $66,500. d. Tyler says his costs are $75,000 . and Greg says his costs are $41,500.