The market for soybeans is initially in equilibrium. Because of mad cow disease, producers decide to replace bone meal with soybeans in cattle feed. The likely effect is that:
What will be an ideal response?
the equilibrium price and quantity of soybeans will rise.
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High income economies, with only about one-sixth of the world's population, produced more than one-third the world's output
Indicate whether the statement is true or false
How do central banks, like the U.S. Federal Reserve, contribute to the welfare of a society?
What will be an ideal response?
A notable macroeconomic effect of the bursting U.S. housing bubble in 2007 was a
A. modest reduction in the growth rate of aggregate consumption spending. B. marked expansion in the construction sector of the economy. C. sharp reduction in Real GDP that increased the unemployment rate by two percentage points. D. all of the options are correct.
The ability-to-pay principle is most closely tied to the concept of
a. horizontal equity in taxation. b. fiscal federalism. c. vertical equity in taxation. d. the benefits principle of tax equity.