Consider the market for high-end wine. Statistics show that wealthier families spend a greater proportion of their income on high-end wine than do poorer families. If households' incomes rise substantially during an economic recovery, then we can expect
a. an increased demand for high-end wine.
b. an increased supply of high-end wine.
c. a lower price for high-end wine.
d. the demand curve for high-end wine to shift to the left.
a. an increased demand for high-end wine.
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If a meat packing plant has 30 employees, each employee has a 1 in 90 chance of getting injured on the job, and the cost of treating a job-related injury is $18,000, then the annual cost per injury for each employee is
A) $6.67. B) $200. C) $600. D) $6,000.
In the above figure, what is total profit at the profit-maximizing point?
A) $14 B) $56 C) $42 D) $70
Explain how agricultural price supports work and what the effects of the supports are
What will be an ideal response?
Refer to the above figure. If the relevant aggregate demand curve was AD2, the government could do all of the following to close the existing gap EXCEPT
A. increase government spending on roads. B. reduce corporate taxes. C. reduce defense spending. D. reduce marginal tax rates.