The forces of supply and demand assure that
a. demand curves and supply curves tend to shift to the right as time goes by.
b. the price of a good will eventually rise in response to an excess demand for that good.
c. when the supply curve for a good shifts, the demand curve for that good shifts in response.
d. the equilibrium price of a good will be rising more often than it will be falling.
B
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What will be an ideal response?
The natural real GDP will ________ following a rise in energy prices because
A) rise; labor productivity increases. B) fall; labor productivity increases. C) fall; real wages are flexible and employment is less attractive relative to leisure. D) B and C are both correct.
Why is it necessary to separate the management function in an organization from those of finance and residual claimancy?
What will happen to profits and domestic prices when a quota is used to protect a domestic monopolist from international competition?
a. Profits will fall; domestic prices will fall. b. Profits will fall; domestic prices will rise. c. Profits will rise; domestic prices will rise. d. Profits will rise; domestic prices will fall.