Suppose a legislation passed by the government encourages domestic oil exploration thereby reducing petroleum imports substantially. If the cost of production is uniform for all producers, which of the following will be observed in the petroleum market?
a. The world price of petroleum would decline.
b. The domestic price of petroleum would decline.
c. The world price of gasoline will remain unaffected.
d. Crude oil consumption in the domestic and the world market would decrease.
C
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Which of the following people would be considered unemployed assuming that they are actively seeking employment?
A) those who were fired from their job B) those who resigned from their job C) new entrants into the job market D) All of the above are correct.
Beach resorts raise their prices during the summer months and yet more people book rooms at those times. Is this a violation of the law of demand?
In the long run, what is the only factor that changes if the money supply increases when the economy is at full employment?
a. Employment increases. b. The RGDP increases. c. Aggregate supply increases. d. Price level increases.
In general, which form of business organization has the greatest capacity to raise large sums of financial capital?
A) sole proprietorships B) partnerships C) limited partnerships D) corporations