If the real interest rate is below equilibrium, which of the following is likely to occur?
a. Lenders will raise their interest rates which will encourage saving
b. Lenders will raise their interest rates which will encourage borrowing.
c. Lenders will lower their interest rates which will encourage saving.
d. Lenders will lower their interest rates which will encourage borrowing.
a
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Economists who believe that market concentration is not harmful to a country's economic well being
a. favor laissez-faire government policies b. think that markets should be regulated c. think that the government should own those monopolies d. like the idea of price controls e. are nonexistent
The marginal cost of producing a good to society is the:
A. vertical sum of the demand curve and the marginal cost of polluting. B. horizontal sum of the supply curve and the marginal cost of polluting. C. horizontal sum of the demand curve and the marginal cost of polluting. D. vertical sum of the supply curve and the marginal cost of polluting.
A demand curve with constant slope over all quantity values will always have a price elasticity of demand equal to -1.
Answer the following statement true (T) or false (F)
The natural rate of unemployment is likely to fall if:
a) Unemployment benefits increase b) Income tax increases c) More training is available for the unemployed d) Geographical immobility increases