The above figure shows the long-run expansion path. With an increase in the wage rate, the long run expansion path will
A) remain unchanged.
B) shift up.
C) shift down.
D) become flatter.
B
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A decrease in U.S. interest rates will, other things equal, tend to: a. lower the foreign exchange value of the dollar. b. help U.S. exporters
c. cause a net outflow of capital from the U.S. d. do all of the above.
Business cycles in the United States
A. Are similar in frequency and intensity. B. Are remarkably similar in length but vary greatly in intensity. C. Are similar in length, frequency, and intensity. D. Vary greatly in length, frequency, and intensity.
In Figure 5.1, the demand curve that has an infinite elasticity is shown on graph:
A. A. B. B. C. C. D. D.
If a good is produced by firms that incur all private and external costs, the price consumers pay
A) will be efficient since it includes all social costs. B) will not be socially acceptable. C) will be too high because the consumers end up paying all of the costs instead of the firm. D) will be the correct price, but inefficient.