The classical economists assumed that
A) wages and prices were inflexible, especially downward.
B) government intervention in the economic system was necessary and helpful.
C) monopoly was widespread in the economy.
D) wages and prices were flexible.
D
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A decrease in the nominal wage will cause the aggregate supply curve to
A. shift outward. . B. shift inward. C. become flatter D. become steeper. .
Which of the following is a consequence of minimum wage laws?
A) Producers have an incentive to offer workers non-wage benefits such as health care benefits and convenient working hours rather than a higher wage. B) Employers will be reluctant to offer low-skilled workers jobs with training. C) All workers benefit when the minimum wage is increased. D) Low-skilled workers benefit because minimum wage increases the number of jobs providing low-skilled workers with training.
The beginning of the formal budget process is signified by:
a. in the form of the Economic Report of the President b. in a report followed shortly by the Economic Report of the President. c. at the beginning of the fiscal year. d. in a report that should be voted up or down within 60 days. e. in a report that requires a two-thirds vote for ratification.
Lobbying can shape regulations through:
A. collusion. B. objective cost benefit analysis. C. rent-seeking behavior. D. forced action.