Jim recently graduated from college. His income increased dramatically;from$5000 a year to $60,000 a year. Jim decided that instead of using the bus, he would buy himself a car. This implies that
a. The car is a normal good for Jim
b. The car is an inferior good for Jim
c. He is equally happy between using the bus and buying a car
d. None of the above
a
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Refer to the figure below.________ inflation will eventually move the economy pictured in the diagram from short-run equilibrium at point ________ to long-run equilibrium at point ________. 
A. Rising; A B. Falling; A; C C. Falling; B: C D. Rising; A; C
If bundles of goods A and B lie on the same indifference curve, one can assume the individual
a. prefers bundle A to bundle B. b. prefers bundle B to bundle A. c. enjoys bundle A and B equally. d. bundle A contains the same goods as bundle B.
A snowmobile rental shop asked its best customer how often he would rent at various rates. Which of the following will show the data on a graph?
a. individual demand schedule b. market demand schedule c. individual demand curve d. market demand curve
A major goal of the World Trade Organization is to:
Increase the protection of producers against foreign trade competition Encourage bilateral trade agreements between nations reduce trade barriers and expand international trade among nations Maximize tariff revenue for governments