If the government imposes a price ceiling,
a. producers must charge the ceiling price
b. the price offered by producers must be no lower than that ceiling price
c. the price offered by producers must be no higher than that ceiling price
d. producers would be inclined to increase the quantity supplied
e. the market supply curve shifts to the right
C
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Which of the following is NOT something a macroeconomist would study?
What will be an ideal response?
For both Keynesians and monetarists to predict accurately the effects of a change in the money supply on the price level, they need to add ____ to their analysis.
A. aggregate demand B. nominal GDP C. real GDP D. aggregate supply E. government spending
Liquidity is:
A. the magnitude of change in the money supply as controlled by the Fed. B. a measure of how easily a particular asset can be converted quickly to cash without much loss of value. C. the speed with which physical dollars change hands in the economy. D. the speed with which dollars are spent in the economy.
An increase in output would result in a rise in long-run average costs when there are
A) economies of scale. B) diseconomies to scale. C) constant returns to scale. D) the law of diminishing marginal product.