In order to shift the vertical supply curve to the left, which of the following would have to occur?
a. increase in productivity
b. breakdown of key market institutions
c. expansion of potential GDP
d. flexible wage and price adjustments
b. breakdown of key market institutions
You might also like to view...
Which of the following is FALSE regarding unions?
A) The American Federation of Labor (AFL), composed of craft unions, was formed in 1886 under the leadership of Samuel Gompers. B) For a period after World War I the government temporarily stopped protecting labor's right to organize. C) During the Great Depression, legislation was passed that made collective bargaining illegal. D) The AFL and the CIO merged in 1955.
Gross domestic product (GDP) includes
According to economic theory, under perfect competition, the price of a depletable resource
A. becomes an inaccurate signal of scarcity. B. may fall as firms will develop substitutes. C. will be too volatile to let markets adjust. D. will increase as firms develop new innovations to extract the resource.
The value and cost of goods are easiest to determine when the goods are
a. common resources. b. public goods. c. club goods. d. private goods.