Someone says, "Even though the equilibrium wage rate is $8 an hour in the unskilled labor market, if we impose a minimum wage of $10 an hour, no one currently working will lose his or her job." This person must believe that the
A) demand curve for unskilled labor is vertical.
B) demand curve for unskilled labor is downward-sloping.
C) supply curve for unskilled labor is downward-sloping.
D) supply curve for unskilled labor is horizontal.
E) none of the above.
A
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Refer to the figure below. If the Federal Reserve wants to lower the interest rate to 3%, it must ________ the money supply to ________. 
A. decrease; 300 B. increase; 900 C. increase; 700 D. increase; 300
The majority of spending in the government purchases category comes from the federal government
Indicate whether the statement is true or false
If the real interest rate is 3 percent and the inflation rate is 2 percent, what is the nominal interest rate?
What will be an ideal response?
Because of specialization and comparative advantage, most people
a. consume only what they produce themselves b. consume the products produced by their family and friends c. consume the products of many other specialists d. do not use money as a medium of exchange e. share whatever they produce