A country with high inflation, rising budget and trade deficits, and a rapidly expanding money supply
(a) is in transition.
(b) has macroeconomic instability.
(c) is practicing import substitution.
(d) is practicing export promotion.
B
You might also like to view...
Based on the figure below. Starting from long-run equilibrium at point C, a tax increase that decreases aggregate demand from AD1 to AD will lead to a short-run equilibrium at point ________ and eventually to a long-run equilibrium at point ________, if left to self-correcting tendencies.
A. D; C B. D; B C. A; B D. B; C
Price discrimination allows the firm to
a. segment the market and thereby capture consumer surplus b. create excess demand which will force price upward c. shift the equilibrium price to eliminate price competition among discriminating buyers d. behave like a monopolist e. select a small set from among its customers in order to charge the highest price possible
For a given increase in supply, the condition of demand that will result in the most significant change in price is when demand is
A. inelastic. B. elastic. C. perfectly elastic. D. perfectly inelastic.
The poverty rate is defined as:
A. the percentage of low income earners to high income earners. B. the percentage of the population that falls below the absolute poverty line. C. the lowest one percent of all income earners. D. the percentage of the population that falls below the relative poverty line.