Suppose you observe that the price of movie admissions decline and that the number of people attending movies declines as well. If only the demand curve or the supply curve shifts, this suggests that
A. movie theaters have experienced an increase in their operating costs due to increases in the minimum wage.
B. high salaries for Hollywood actors have increased the cost of movie making.
C. admission prices for other types of entertainment, such as live shows and sporting events, have also declined.
D. movies are a normal good and incomes have increased.
Answer: C
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Assuming a flexible exchange rate, then an expansionary monetary policy in the foreign exchange market will shift
a. the demand curve for foreign exchange to the right b. the demand curve for foreign exchange to the right and the supply curve of foreign exchange to the left. c. both the demand curve for foreign exchange and the supply curve of foreign exchange to the right. d. both the demand curve for foreign exchange to the left. e. none of the above.
Explain the role of economic freedom in economic development
What will be an ideal response?
Suppose Larry's Lariats produced 25,000 lassos and sold each for $10. What was the profit for this company?
A. $250,000 B. $25,000 C. $125,000 D. Cannot calculate profit without more information.
Filing a fraudulent income tax return that understates income or overstates deductions is known as
a. tax evasion b. logrolling c. tax avoidance d. rent seeking e. profiteering