Answer the next question(s) based on the following supply and demand schedules in units per week for a product.PriceQuantity DemandedQuantity Supplied$601004005014034040180280302202202026016010300100The government's introduction of a guaranteed price floor of $50 will result in
A. a shortage of 200 units.
B. an unstable market.
C. a surplus of 200 units.
D. no shortage or surplus.
Answer: C
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Refer to Figure 2-11. Which country has a comparative advantage in the production of cotton?
A) Pakistan B) Indonesia C) They have equal productive abilities. D) neither country
If prices (as measured by the CPI) fell by one-half and nominal wages fell by one-third, what would happen to real wages?
a. They would fall by one-third b. They would remain unchanged c. They would decrease d. They would increase e. They would fall by one-half
U.S. investment is financed from
What will be an ideal response?
Refer to the graph shown. Assume the market is initially in equilibrium at point b in the graph but the imposition of a per-unit tax on this product shifts the supply curve up from S0 to S1. The effect of the tax is to raise equilibrium price from:
A. P1 to P1 + t. B. P2 ? t to P1 + t. C. P2 ? t to P2. D. P1 to P2.