Other things the same, a fall in an economy's overall level of prices tends to
a. raise both the quantity demanded and supplied of goods and services.
b. raise the quantity demanded of goods and services, but lower the quantity supplied.
c. lower the quantity demanded of goods and services, but raise the quantity supplied.
d. lower both the quantity demanded and the quantity supplied of goods and services.
b
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Today the greatest number of poor are _________ Americans, but the poverty rate for __________ Americans is higher.
A. white; black and Hispanic B. black; white C. black; Hispanic D. white; Hispanic
A company draws its total cost curve and total revenue curve on the same graph. If the firm wishes to maximize profits, it will select the output at which the
a. vertical distance between the two curves is greatest. b. total cost curve cuts the total revenue curve. c. horizontal distance between the two curves is greatest. d. slope of the total revenue curve is greatest.
Referring to a production possibilities curve and the goods being compared, depict the economic event. The economy moves from full employment to a serious recession (capital goods vs. consumer goods).
A. A movement from a point inside the curve to a point on the curve B. A movement from a point on the curve to a point inside the curve C. A shift in the entire curve to the right (outward) D. A shift in the entire curve to the left (inward) E. A movement along the curve
Which would be characteristic of monopolistic competition?
A. Relatively small market share for each firm. B. Product standardization. C. A potential for price-fixing through collusion. D. Mutual interdependence among the few firms.