Excess demand or excess supply will always drive price back to equilibrium in a free market
Indicate whether the statement is true or false
T
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The phrase "demand has increased" means that
A) a demand curve has shifted to the right. B) there has been a downward movement along a demand curve. C) a demand curve has shifted to the left. D) there has been an upward movement along a demand curve.
Which element of total planned expenditure is NOT included in "autonomous planned spending"?
A) cY B) -cT C) NX D) Ip E) a
The marginal social benefit curve for water quality slopes downward because
a. the total benefit from clean water decreases as water becomes cleaner b. the added benefit from cleaner water is greater when water quality is poor than when water quality is high c. the added benefit from cleaner water is smaller when water quality is poor than when water quality is high d. the total benefit from clean water increases as water becomes cleaner e. people demand clean water at any price
Another term for capitalism is the:
A. system of inputs and outputs. B. command system. C. socialist economy. D. market system.