Refer to Figure 3-8. The graph in this figure illustrates an initial competitive equilibrium in the market for motorcycles at the intersection of D1 and S1 (point A)
If the price of motorcycle engines increases, and the wages of motorcycle workers increase, how will the equilibrium point change?
A) The equilibrium point will move from A to E.
B) The equilibrium point will move from A to C.
C) The equilibrium will first move from A to B, then return to A.
D) The equilibrium point will move from A to B.
D
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If resource prices are fixed and the product selling price rises, then
a. profits will decrease. b. profits will increase. c. profits will remain constant. d. both profits and output will decrease.
The recent increases in international trade and new technology have caused demand for ______ workers to ______.
a. all types of; decrease b. low-skilled; increase c. highly-skilled; increase d. all types of; remain constant
If a natural disaster were to cause a negative long-run supply shock to the economy, once the economy adjusts, the new equilibrium will be at a:
A. higher price level and lower level of output. B. lower price level and lower level of output. C. higher price level and higher level of output. D. lower price level and higher level of output.
Which of the following is an important element of corporate culture?
A. Effective communication B. Corporate takeovers to decrease the wealth of shareholders C. Dress code and political correctness in the workplace D. Proper coordination among employees