The tendency of changes in asset prices to affect spending on consumption goods is called the ________ effect.
A. multiplier
B. substitution
C. income
D. wealth
Answer: D
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Use the following graph of total revenues to answer the question below. 
An increase in the quantity of product X demanded from 16,000 to 17,000 units implies that the price of product X was
A. reduced and the demand is inelastic. B. increased and the demand is inelastic. C. reduced and the demand is elastic. D. increased and the demand is elastic.
A reduced form equation expresses an exogenous variable in terms of endogenous variables.
Answer the following statement true (T) or false (F)
Adjustments in ________ take the economy from the short-run equilibrium to the long-run equilibrium.
A. imports and exports B. interest rates C. wages and prices D. the multiplier
Refer to the information provided in Figure 4.6 below to answer the question(s) that follow.Equilibrium in this market occurs at the intersection of curves S and D.
Figure 4.6Refer to Figure 4.6. At equilibrium, consumer surplus is area
A. A. B. A + B + C. C. E + F + G. D. G.