Refer to the figure below. In response to gradually falling inflation, this economy will eventually move from its short-run equilibrium to its long-run equilibrium. Graphically, this would be seen as 
A. long-run aggregate supply shifting leftward
B. Short-run aggregate supply shifting upward
C. Short-run aggregate supply shifting downward
D. Aggregate demand shifting leftward
Answer: B
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Suppose that the CPI in 2009 is 220 and that the inflation rate is 5% in 2010 . What is the CPI in 2010?
Figure 7-6
In the price range between $3 and $4, the price elasticity of the demand curve depicted in is
a.
highly elastic.
b.
approximately equal to -0.33.
c.
approximately equal to -3.
d.
of unitary elasticity.
"Lower marginal tax rates encourage people to work, save, and invest, resulting in more output and a larger tax base." This statement most closely reflects which of the following schools of economic thought?
A. Keynesian B. Adam Smithian C. Marxist D. Supply-side economics
Federal deposit insurance is currently capped at $100,000 per account.
Answer the following statement true (T) or false (F)