The income of consumers increases. and the wage rate in the beef industry increases. As a result
A. the equilibrium quantity sold can either increase or decrease and the price can either increase or decrease, depending on whether the change in demand was greater than the change in supply.
B. the equilibrium quantity sold increases and price can either increase or decrease, depending on whether the change in demand is greater than the change in supply.
C. the price of beef stays the same and the quantity sold can either increase or decrease, depending on whether the change in demand is greater than the change in supply.
D. the price of beef increases and the quantity sold can either increase, decrease or stay the same depending on whether the change in demand was greater than the change in supply.
Answer: D
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Which of the following is most likely to help the residents of a nation produce more goods and services and achieve higher income levels?
a. Higher tax rates. b. A higher rate of investment. c. A smaller trade sector. d. Greater use of taxation to transfer income from the rich to the poor.
Among the following, which group is helped during periods of inflation?
A. Creditors B. Farmers C. People on fixed incomes D. Lenders
When there is an expansionary gap, inflation will ________, in response to which the Federal Reserve will ________ real interest rates, and output will ________.
A. decline; lower; expand B. increase; raise; decline C. decline; lower; decline D. decline; raise; decline
An increase in either supply or demand will shift the respective curve to the ___________. A decrease in supply or demand would shift the respective curve to the_______________. These are called changes in supply and demand. A movement along the demand curve is considered a change in QUANTITY demanded, while a movement along the supply curve is considered a change in QUANTITY supplied. These last changes are caused only by a change in _______
Fill in the blank(s) with the appropriate word(s).