To affect the market outcome, a price ceiling
A) must be set below the black market price.
B) must be set below the legal price.
C) must be set below the price floor.
D) must be set below the equilibrium price.
Answer: D
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The new growth theory
A) corrects for poor estimates of population growth. B) applies to only very poor, less-developed nations. C) eliminates technological advances from the growth picture. D) asserts that economic growth can be rapid but can only persist for a limited period of time. E) explains the source of technological advances.
Bananas cost about $1 a pound and ground beef costs about $3 a pound. If Jenna has $18 to spend on groceries and she only buys bananas and beef, which of the following is a possible combination of these goods that could maximize her total utility?
A) 18 lbs of bananas and 6 lbs of beef B) 10 lbs of bananas and 8 lbs of beef C) 8 lbs of bananas and 3 lbs of beef D) 3 lbs of bananas and 5 lbs of beef
U.S. health care spending amounts to _____ per year.
A. $7.8 billion B. $1.1 million C. $2.2 trillion D. $4.4 trillion
For the long run, neo-Keynesians believe that attempts to decrease the unemployment rate will
a. not succeed but will cause the rate of inflation to rise b. succeed but will also cause the rate of inflation to rise c. succeed and cause the rate of inflation to fall d. not succeed but will cause the rate of inflation to fall e. succeed but only at the expense of real GDP