A unit tax of $1 has been levied on a good. The equilibrium price of the good will most likely
A) increase by $1.
B) remain unchanged.
C) decrease by $1.
D) increase by an amount less than $1.
D
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What leads to a decrease in the quantity demanded of a good or service?
What will be an ideal response?
Refer to Figure 17-9. Fed Chairman Paul Volcker's response to the ________ of the late 1970s is depicted in the figure above as a movement from C to D to A
A) appreciation of the dollar B) deflation C) high inflation D) high unemployment
Figure 5-2
?
In Figure 5-2, if the aggregate demand curve moves to the right less rapidly than the aggregate supply curve, then
A. the price level should decline over time. B. the price level should remain stable. C. the price level will tend to increase. D. the level of real GDP should decrease.
Which of the following would most likely NOT be taught in a microeconomics course?
A. the effect of an increase in wheat prices on farmers' behavior B. changes in unemployment across the nation C. changes in prices of automobiles D. the effects of a gas tax on gas purchases