If opening up international trade resulted in the U.S. becoming a wheat exporter, relative to the prior no-trade situation, the U.S. domestic price of wheat:
a. would rise, but domestic output would fall
b. would decline, but domestic output would rise.
c. would decline, as would domestic output.
d. would rise, as would domestic output.
d
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Japanese electronics exports were hurt in 2008 as a result of the recession. How would this decrease in exports have affected Japan's aggregate demand curve?
A) The aggregate demand curve would not have shifted, but there would have been a movement down the aggregate demand curve. B) The aggregate demand curve would have shifted to the right. C) The aggregate demand curve would not have shifted, but there would have been a movement up the aggregate demand curve. D) The aggregate demand curve would have shifted to the left.
If a good or service does not get used up as it is consumed, then it is said to be
A) nonexcludable. B) nonrival. C) nondiscrimination. D) nonconsumable. E) None of the above.
Explain productivity and discuss how it is related to the standard of living in terms of the circular flow model.
What will be an ideal response?
Which of the following statements is CORRECT?
a) actual aggregate expenditures does not always equal real GDP b) planned investment exceeds actual investment when real GDP is greater than aggregate planned expenditures c) actual investment exceeds planned investment when real GDP is less than aggregate planned expenditures d) none of the above is correct