The markets for movie theater tickets and videocassette rentals are highly interdependent. Suppose that a tax is imposed on movie theater tickets
The type of analysis that examines the effects of this tax on the markets for movie theater tickets and videocassettes simultaneously is called A) macroeconomics.
B) general equilibrium analysis.
C) partial equilibrium analysis.
D) full market analysis.
E) psychoanalysis.
B
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Which of the following does not describe a characteristic of short-term economic fluctuations?
A. Expansions and recessions are irregular in length and severity. B. Durable-goods industries are less sensitive to short-term fluctuations than service and non-durable industries. C. Expansions and recessions are felt throughout the economy. D. The unemployment rate rises during recessions.
Total cost of production refers to the:
A) sum of variable costs and fixed costs. B) product of variable costs and fixed costs. C) difference between variable costs and fixed costs. D) ratio of variable costs to fixed costs.
Is keeping money growth low when the central bank can accurately forecast real growth a guarantee that short-run inflation will not occur? Explain
What will be an ideal response?
Which of the following is consistent with the idea that high money supply growth leads to high inflation?
a. the quantity theory and evidence from four hyperinflations during the 1920's b. the quantity theory but not evidence from four hyperinflations during the 1920's c. evidence from four hyperinflations during the 1920's but not the quantity theory d. neither the quantity theory nor evidence from four hyperinflation during the 1920's