This graph shows three different budget constraints: A, B, and C. If Ted's budget constraint is shown by line A in the graph shown, and Ted's income for these two items is $36, what are the prices of the two goods?
A. Soda costs $12 per case and milk costs $9 a gallon.
B. Soda costs $3 per case, and milk costs $4 a gallon.
C. Soda costs $4 per case, and milk costs $3 a gallon.
D. Soda costs $6 per case and milk costs $3 a gallon.
Answer: B
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a. True b. False
For the six years following the passage of the North American Free Trade Agreement (NAFTA),
a. the U.S. economy had some of the slowest job growth and highest unemployment in its history. b. the U.S. economy had some of the most rapid job growth and low unemployment in its history. c. the U.S. economy had some of the most rapid job growth and modest unemployment in its history. d. the U.S. economy had some of the slowest job growth and modest unemployment in its history.
The equilibrium price and quantity in Figure 3.2 are, respectively,
Figure 3.2 Supply and Demand
A. $12 and 20 units. B. $12 and 40 units. C. $6 and 20 units. D. $9 and 30 units.
Explain how concentration of industries in a particular region can lead to external economies
What will be an ideal response?