Which of the following statements is correct?
a. The demand curve typically slopes upward; the supply curve typically slopes downward.
b. The demand curve typically slopes downward; the supply curve typically slopes upward.
c. Both the demand and supply curves typically slope downward.
d. Both the demand and supply curve typically slope upward.
e. The demand curve is typically vertical; the supply curve is typically horizontal.
B
You might also like to view...
In the short run, real GDP can increase beyond a level consistent with the long-run growth path if
A) existing capital and labor are used more intensely. B) the price level decreases accordingly. C) we measure in nominal terms instead of real terms. D) there is an increase in marginal tax rates.
Many economists believe that our price indexes ________ the true inflation rate
A) minimize B) overstate C) understate D) perfectly measure
How can a firm have a negative valued added, as supposedly some state-owned businesses did in the former Soviet Union? What has to be true for value added to be negative?
What will be an ideal response?
Workers do not know the safety records at individual firms; they only know industry averages. As a result,
A) each firm tries to outdo each other in making safety improvements. B) each firm has the incentive to be the safest in its industry. C) the equilibrium level of safety is less than optimal. D) the optimal level of safety is achieved.