Suppose velocity is constant at 4, real output is 10, and the price level is 2. From this initial situation, the government increases the nominal money supply to 6. If velocity and output remain unchanged, by how much will the price level increase?
A) 2.4%
B) 20%
C) 24%
D) 50%
B
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The above table shows the tons of steel and concrete that can be produced by the United States and France in an hour. From the data in the table
A) France has a comparative advantage in the production of concrete. B) the United States has a comparative advantage in the production of concrete. C) France has an absolute advantage in the production of concrete. D) the United States has a comparative advantage in the production of both goods.
A competitive market will typically experience entry and exit until accounting profits are zero
a. True b. False Indicate whether the statement is true or false
Which is one of the conditions that must be realized before a seller finds that price discrimination is workable?
A. The buyer must be able to resell the product at a higher price to other consumers. B. The product must be a service because demand is more elastic for services. C. The seller must be able to segregate buyers based on a willingness to pay. D. The demand for the product is perfectly elastic so any price can be charged for the product.
The total burden of a tax is the
A. absolute number of dollars an individual pays. B. percentage of income a person pays. C. number of dollars a person must be given after taxation to make him as well off as he was before taxation. D. revenue lost to loopholes.