When a tax is imposed on a market:
A. the price the buyer pays is higher than the amount the seller receives.
B. the buyers’ equilibrium tax-inclusive price increases and the equilibrium quantity decreases.
C. fewer total transactions take place in the market.
D. All of these are true.
D. All of these are true.
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Refer to Table 4-8. If a minimum wage of $10.00 an hour is mandated, what is the quantity of labor demanded?
A) 390,000 B) 370,000 C) 350,000 D) 40,000
Banks create money when they
A. add to their reserves in the Federal Reserve Bank. B. accept deposits of cash. C. sell government bonds. D. exchange demand deposits for loans to businesses and individuals.
Assume the Expectation Hypothesis regarding the term structure of interest rates is correct. Then, if the current one-year interest rate is 4% and the two-year interest rate is 6%, then investors are expecting the future one-year rate to be:
A. 8%. B. 6%. C. 5%. D. 4%.
Globally, from 1996-2013 the highest average growth rate per year occurred on the continent of Africa.
Answer the following statement true (T) or false (F)