An increase in the number of firms causes the price firms are able to charge to fall, which results in a movement along the market supply curve.
Answer the following statement true (T) or false (F)
False
An increase in the number of firms in a market will cause the market supply curve to shift to the right, resulting in a movement along the market demand curve.
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Realizing the problems with import substitution, some Asian countries have instead:
A. supported export-led growth. B. worked to maintain a fixed exchange rate. C. become isolationist, like North Korea. D. practiced contractionary monetary policy.
Refer to the information provided in Figure 2.4 below to answer the question(s) that follow.
Figure 2.4According to Figure 2.4, Point E necessarily represents
A. an impossible production point. B. overallocation of resources. C. only motorcycles being produced. D. technological advancement.
Which of the following is a macroeconomic topic?
A) Why did production and jobs expand slowly in 2011? B) General Motors decides what prices to set for their new models. C) The federal government's decision to spend more on environmental protection D) The effect of floods in agricultural areas on the price and quantity of wheat E) The county government's decision to increase the sales tax for your county
An optimizing consumer will select the consumption bundle in which the marginal rate of substitution
a. is equal to the price of the least-expensive good. b. exceeds the marginal utility of each good by the greatest amount. c. is less than the slope of the budget constraint. d. None of the above is correct.