According to the misperceptions theory, the amount by which producers increase their output when the general price level rises depends on
A) the slope of the aggregate demand curve.
B) the slope of the long-run aggregate supply curve.
C) the size of the Solow residual.
D) how much they think their relative prices have increased.
D
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Refer to the figure above. If the engineer spends his entire time on producing websites, how many Web sites can he produce?
A) 2 B) 5 C) 10 D) 12
Annual inflation equal to 1,000% means that prices are rising by
A. 100 times in a year. B. 500 times in a year. C. 1,000 times in a year. D. 10 times in a year.
In the model of public goods
A) government spending is pure waste B) private consumption and government spending are equal. C) consumers benefit from private goods and public goods. D) the government provides goods at no cost to the public.
In third-degree price discrimination, markets with a larger price elasticity of demand are ________ responsive to price changes and are charged ________ prices than markets with a smaller price elasticity of demand.
A) less; lower B) more; higher C) more; lower D) less; higher