As a source of funds for nonfinancial businesses, stocks are relatively more important in
A) the United States.
B) Germany.
C) Japan.
D) Canada.
D
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If, in response to a decrease in the price of coffee, the quantity of coffee demanded increases, economists would describe this as
A) an increase in consumers' taste for coffee. B) an increase in quantity demanded. C) a change in consumer income. D) an increase in demand.
Describe the effects of an oil price shock in a Keynesian model; why are such supply shocks difficult to handle using macroeconomic stabilization policies?
What will be an ideal response?
Monopolies are always large firms with great economies of scale
a. True b. False Indicate whether the statement is true or false
Budget constraints exist for consumers because
a. their utility from consuming goods eventually reaches a maximum level. b. even with unlimited incomes they have to pay for each good they consume. c. they have to pay for goods, and they have limited incomes. d. prices and incomes are inversely related.