Starting from long-run equilibrium, a large decrease in government purchases will result in a(n) ________ gap in the short-run and ________ inflation and ________ output in the long-run.
A. expansionary; lower; potential
B. expansionary; higher; potential
C. recessionary; lower; potential
D. recessionary; lower; lower
Answer: C
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Ling-Temco-Vought (LTV) is an example of
a. a conglomerate. b. a vertical merger. c. a horizontal merger. d. a limited-liability partnership.
The current deregulatory movement began to change laws to deregulation in the
a. early 1970s. b. late 1970s. c. early 1980s. d. early 1990s.
Refer to the information provided in Figure 9.1 below to answer the question(s) that follow. 
Figure 9.1Refer to Figure 9.1. This farmer will earn ________ economic profit if the price is $10.
A. -$2. B. $0. C. $2. D. $7.
Someone has a comparative advantage in producing a good if she can produce that good
A. in greater quantities. B. using more capital and less labor. C. at a lower opportunity cost. D. using more labor and less capital.