If Alan Shaw reduces his work hours when his salary increases, then
A) the substitution effect of his salary increase dominates the income effect.
B) leisure is an inferior good to Alan.
C) the income effect of his salary increase dominates the substitution effect.
D) the income effect of his salary increase is completely offset by the substitution effect.
C
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If consumers value the product-specific services for a new smartphone at $25, if retailers offer the product-specific services for the smartphone, the market ________ will ________.
A) supply; parallel shift to the right by $25 B) demand; parallel shift to the right by $25 C) demand; parallel shift to the left by $25 D) demand; parallel shift to the right by less than $25
Which of the following statements best describes relative inflation?
a. If the country Economia experiences a relatively low inflation rate compared with other economies, then the buying power of its currency is eroding, which will tend to discourage anyone from wanting to acquire or to hold the currency. b. If the country Economia experiences a relatively high inflation rate compared with other economies, then the buying power of its currency is eroding, which will tend to discourage anyone from wanting to acquire or to hold the currency. c. If the country Economia experiences a relatively high inflation rate compared with other economies, then the buying power of its currency is increasing, which will tend to discourage anyone from wanting to acquire or to hold the currency. d. If the country Economia experiences a relatively low inflation rate compared with other economies, then the buying power of its currency is increasing, which will tend to discourage anyone from wanting to acquire or to hold the currency.
Refer to the above diagram. If aggregate supply shifts from AS1 to AS2, then the price level will:
A. increase and real domestic output will decrease. B. decrease and real domestic output will decrease. C. decrease and real domestic output will increase. D. increase and real domestic output will increase.
The major difference between propensity score matching and synthetic control is that:
a. propensity score matching requires the researcher to identify qualified donor pools in choosing a control group. b. propensity score matching is an application of the methodology used in the comparative case study. c. synthetic control uses logit regression to match individuals in the treatment group with individuals with similar characteristics to create a control group. d. the way in which the control groups are identified is different.