Use the following diagram to answer the next question.
The phases of the business cycle from points A to D are, respectively
A. expansion, recession, trough, peak.
B. trough, recovery, expansion, peak.
C. peak, recession, expansion, trough.
D. peak, recession, trough, expansion.
Answer: D
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In which of the following cases would the supply of loanable funds curve shift rightward?
A) Investment demand increases. B) The stock market booms, so people's wealth increases. C) In June, Sally learns that at year's end she will receive a bonus that will double her current salary. D) The economy moves into a recession. E) Joe is worried about cutbacks at his firm, so his expected future income falls.
Suppose all firms have constant marginal costs that are the same for each firm in the short run. In this case, the market level supply curve is ________ and producer surplus equals ________:
A) perfectly inelastic, fixed costs B) perfectly inelastic, zero C) perfectly elastic, fixed costs D) perfectly elastic, zero
Suppose we were analyzing the pound per Swiss franc foreign exchange market. If Switzerland's tax level rises relative to England and nothing else changes, then the:
a. The supply of Swiss francs in the foreign exchange market falls, and the demand for Swiss francs in the foreign exchange market rises, causing an appreciation of the Swiss franc. b. The supply of Swiss francs in the foreign exchange market rises, and the demand for Swiss francs in the foreign exchange market falls, causing an appreciation of the Swiss franc. c. The supply of Swiss francs in the foreign exchange market rises, and the demand for Swiss francs in the foreign exchange market falls, causing a depreciation of the Swiss franc. d. The supply of Swiss francs in the foreign exchange market rises, and the demand for Swiss francs in the foreign exchange market rises, causing an uncertain change in the value of the Swiss franc. e. Neither supply nor demand in the foreign exchange market change because relative international prices influence trade flows and not the exchange rate.
Juan lost his job as a nuclear physicist working for a defense contractor. He can not find a job because no firms in the defense industry or any other industry are hiring people with his skills. Juan is ______________ unemployed
A) frictionally B) cyclically C) structurally D) naturally