Suppose an economy produces only ice cream cones. If the price level rises, the value of currency
a. rises, because one unit of currency buys more ice cream cones.
b. rises, because one unit of currency buys fewer ice cream cones.
c. falls, because one unit of currency buys more ice cream cones.
d. falls, because one unit of currency buys fewer ice cream cones.
d
You might also like to view...
Refer to the figure below.________ inflation will eventually move the economy pictured in the diagram from short-run equilibrium at point ________ to long-run equilibrium at point ________, 
A. Rising; B; C B. Falling; A; C C. Falling; A; B D. Rising; A; C
A budget ________ occurs when government expenditures exceed tax revenues for a particular time period
A) deficit B) surplus C) surge D) surfeit
Refer to the information provided in Figure 19.1 below to answer the question(s) that follow. 
Figure 19.1 Refer to Figure 19.1. After firms can respond to the payroll tax, the per-hour wage that workers take home will ________ compared to the original equilibrium wage.
A. decrease by $2 B. increase by $5 C. decrease by $5 D. increase by $3
If a resource is purchased and sold in a perfectly competitive market:
a. there are a large number of resource suppliers and the resources are identical. b. there is a single buyer of resource and the resources are identical. c. there is a single buyer of resource and the resources are differentiated. d. there are a large number of resource suppliers and the resources are differentiated. e. there are a large number of resource suppliers and there is no entry or exit.