Using Figure 1 above, if the aggregate demand curve shifts from AD2 to AD3 the result in the long run would be:
A. P2 and Y2.
B. P1 and Y2.
C. P4 and Y2.
D. P1 and Y1.
Answer: B
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If the monopoly illustrated in the figure above could engage in perfect price discrimination, then it would sell
A) 30 tickets. B) 50 tickets. C) 60 tickets. D) 100 tickets.
If the economy receives an influx of new workers from immigration
A) the long-run aggregate supply curve will shift to the right. B) we will move down along the long-run aggregate supply curve. C) we will move up along the long-run aggregate supply curve. D) the long-run aggregate supply curve will shift to the left.
The research of Ben Bernanke (1983) found the banking system of the 1930s to be fundamentally flawed and unable to serve its function of financial intermediation. Federal help was needed
Indicate whether the statement is true or false
Which of the following is an obstacle to economic growth?
a. Political instability b. Government support for private industry c. Slow population growth d. Enforcement of private property rights e. The inability of special interest groups to block changes in economic policy