Which of the following causes of unemployment is not associated with a wage rate above the market equilibrium level?

Which of the following is a reason why IBM decided to provide consulting services rather than manufacturing machines?

A) It had a comparative advantage in providing consulting services. B) It had a comparative advantage in manufacturing machines. C) Manufacturing of machines generated a positive. D) Manufacturing of machines generated a negative.

If there is a financial panic and increased uncertainty about the returns in the stock market and bond market, what is the likely effect on money demand?

A) Money demand declines first, then rises when inflation increases. B) Money demand rises. C) The overall effect is ambiguous. D) Money demand declines.

While deposit insurance was designed to make the banking industry more stable, it contributed to the banking crisis of the 1980s because: a. the FDIC only insured commercial banks

b. the ceiling on insured deposits was too low. c. too many banks were insufficiently insured. d. depositors became too complacent about the risks that the banks were taking. e. unsafe banks were "kicked out" of the deposit insurance system.

Effective, stable leadership is essential to:

A. economic growth. B. discourage foreign direct investment from taking hold in a country. C. increasing human capital. D. increasing population size.