Figure 7-7
In the price range between $3 and $4, the price elasticity of the demand curve depicted in is
a.
highly elastic.
b.
approximately equal to -0.33.
c.
approximately equal to -3.
d.
of unitary elasticity.
c
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Which of the following are the most frequently utilized tools of fiscal policy in the United States?
a. Indirect business taxes b. Corporate income taxes c. Inheritance taxes d. Personal income taxes
Consider the hypothetical supply and demand of Kidneys.
If the government allows the buying and selling of kidneys, what will be the resulting price and quantity of kidneys?
A. (0, 900)
B. (1200, 2000)
C. (1500, 900)
D. No kidneys would be exchanged.
Supply-siders are generally critical of government intervention and regulation, since they believe regulations can be costly impediments to economic growth
a. True b. False Indicate whether the statement is true or false
??Exhibit 16A-2 Macro AD/AS Models
?
?As shown in Panel (b) of Exhibit 16A-2, assume the economy adopts a classical nonintervention policy. Which of the following would cause the economy to self-correct?
A. ?Competition among firms for workers increases the nominal wage and SRAS shifts rightward. B. ?Long-run equilibrium will be established at Y1 and P2. C. ?Long-run equilibrium will be established at Yp and P3. D. ?Competition among unemployed workers decreases nominal wages and SRAS shifts rightward.