If a price ceiling is set above the current market clearing price, then
A) a surplus must immediately occur.
B) a shortage must immediately occur.
C) there will be incentives for black markets to develop.
D) quantity demanded will remain equal to quantity supplied at the current market clearing price.
D
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A recent push in development economics is to:
A. fund only those programs that prove to be effective. B. put more focus on a program's effectiveness. C. stop the trial and error process of funding programs that "might" work. D. All of these statements are true.
The rate at which future money must be discounted is known as the
A. rate of inflation. B. exposure rate. C. discount rate. D. time rate.
According to economists, productivity can be increased by
a. improving the education of workers b. restricting trade with the foreign countries c. raising minimum wages d. raising union wages
A goldsmith has 100 gold coins in his safe and 100 receipts circulating. If he lends out 30 of his coins, what is his reserve ratio?
What will be an ideal response?