As depicted in the circular flow diagram, firms:
A. demand the goods and services that households supply in product markets.
B. supply the goods and services that households demand in product markets.
C. demand the resources that households supply in product markets.
D. supply the resources that households demand in factor markets.
Answer: B
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The utilitarianism, Rawlsian, and benefits-received arguments all favor a ________ tax system
A) regressive B) progressive C) proportional D) value-added
Commodity money
A) has value independent of its use as money. B) has little to no value independent of its use as money. C) can be used to purchase commodities, but not services. D) is backed by a valuable commodity such as gold.
All of the following can impact the demand for new workers in the labor market, except:
Refer to the payoff matrix. Bob's Burgers and Sam's Sandwiches are competing restaurants in a small town. Both are considering adding pizza to their line of products. If this is a sequential game but we don't know who moves first, what can we say about the final outcome?
A. There is no Nash equilibrium attainable for this game.
B. Cell A represents the only Nash equilibrium possible for this game.
C. Cell D represents the only Nash equilibrium possible for this game.
D. Cells B and C both represent possible Nash equilibrium outcomes for this game.