The Monetarist model differs from the classical model in that
a. changes in aggregate demand, not aggregate supply, drive changes in output.
b. changes in the money supply drive changes in inflation inflation.
c. changes in aggregate supply, not aggregate demand, drive changes in ouput.
d. money demand is not always stable.
e. none of the above.
A
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Refer to the figure above. What is the producer surplus when Lithasia engages in trade and the government imposes a tariff of $1 on chairs?
A) $5 B) $20 C) $30 D) $40
The threshold income level originally used to determine official poverty statistics was based on
A) an income three times the amount of money needed to purchase a nutritionally adequate diet. B) standards provided by the United Nations based on studies done in poor countries around the world. C) the highest income of the lowest one-fifth of families in the country. D) a per capita income of $1,000 in 1958 prices.
Refer to the information provided in Table 22.2 below to answer the question(s) that follow.
Table 22.2
Refer to Table 22.2. The labor force
A. equals 130 million. B. equals 150 million. C. equals 170 million D. cannot be determined from this information.
Refer to the diagrams. Assume that only wheat can be grown on the three grades of land shown in Figures (a), (b), and (c). Also assume that identical amounts of labor, capital, and other needed inputs are used in farming each grade of land. On the basis of these three figures, we can say that:
A. the land shown in both Figures (a) and (b) is a"free good."
B. the land shown in Figure (a) only is a "free good."
C. the land shown in all three figures is a "free good."
D. land is not a "free good" in any of the three figures.