As more people started using smart phones, the number of smart phone applications available rose, increasing the smart phone's value to those who already owned one. This is an example of a(n) ________
A) pecuniary externality
B) network externality
C) moral hazard
D) adverse selection
B
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Explain what change will bring a shift of a curve
What will be an ideal response?
Money serves which of the following functions?
A. A medium of exchange. B. A standard of value. C. A store of value. D. All of the choices are true of money's function.
Answer the following statement(s) true (T) or false (F)
1. Someone with a low marginal propensity to consume probably has a low marginal propensity to save. 2. Equilibrium in the aggregate expenditure model requires that aggregate expenditure equals income. 3. According to the aggregate expenditure model, when aggregate expenditure is greater than output, output decreases. 4. Politics can affect aggregate expenditure. 5. Accounting for investment, government purchases, and net exports increases the autonomous portion of aggregate expenditure.
A tariff is
A. a government imposed restriction on the quantity of a specific good that can be imported into the country and sold. B. a subsidy on domestically produced goods. C. the difference between the world market price and the domestic price when a group of firms in an industry collude successfully. D. a tax on imported goods.