On a supply-and-demand diagram, consider a price for which the horizontal distance to the supply curve is shorter than the horizontal distance to the demand curve. There is a __________ at that price and the current price must be __________ the equilibrium price
A) shortage; above
B) shortage; below
C) surplus; above
D) surplus; below
B
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Goods that are produced this year, stored in inventories, and then sold to consumers next year
A) count in this year's GDP. B) count in next year's GDP. C) count in both this year's and next year's GDP. D) are not counted as a part of GDP.
If banks do not loan out all their excess reserves, then the real world multiplier is
A) not related to 1/RR. B) larger than 1/RR. C) smaller than 1/RR. D) equal to 1/RR.
During the first 125 years of the United States,
a. there were no constitutional constraints on the spending of the federal government. b. real spending per person by the federal government rose by a factor of 60. c. most of the government spending was undertaken at the state and local levels. d. most of the government spending was undertaken at the federal level.
Video rental stores in cities are an illustration of:
a. perfect competition. b. monopolistic competition. c. monopoly. d. oligopoly.