Tradable allowances are like taxes in that they both:
A. impose a quota on output.
B. maximize surplus.
C. are not efficient.
D. None of these statements is true.
B. maximize surplus.
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What is the natural rate hypothesis?
What will be an ideal response?
The difference between the short-run and the long-run is
A) three months, or one business quarter. B) the time it takes for firms to change all inputs in the production process. C) the time it takes for firms to change only their variable inputs. D) More information is required to answer this question.
Monopolistic competition is like monopoly in the sense that which of the following are the same?
a. there are many buyers and sellers b. they both face a downward sloping demand curve c. they both make long-run profits d. their products are homogeneous
An increase in the minimum wage will tend to cause which of the following?
A) an upward shift in the WS curve B) a downward shift in the WS curve C) an upward shift in the PS curve D) a downward shift in the PS curve E) none of the above