Other things remaining the same, when a fall in the price of one good is followed by an increase in the demand for another good, both goods are said to be:
a. inferior goods.
b. substitute goods.
c. Giffen goods.
d. public goods.
e. complementary goods.
e
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Refer to Figure 11-1. Suppose the per-worker production function in the figure above represents the production function for the U.S. economy
If the United States decided to double its support of university research, this would cause a movement from A) B to A. B) B to C. C) A to B. D) D to C.
For a single country to influence the price of some good in the global market:
A. it must be considered a price taker. B. the quantity it produces and consumes must be small relative to the total amount of that good bought and sold worldwide. C. the quantity it produces and consumes must be large relative to the total amount of that good bought and sold worldwide. D. the country must be large relative to other nations in the world
A consumer's budget constraint is drawn on a graph with the number of sandwiches measured along the horizontal axis and the number of bowls of soup measured along the vertical axis. Hold the consumer's income and the price of a sandwich fixed, and increase the price of a bowl of soup. Describe the effect on the budget constraint
When banks receive new deposits, they can make new loans and thus create money:
A. equal to the full amount of the new deposits. B. up to the amount of their checkable deposits. C. only up to the amount of their excess reserves.