If the Chinese government sets a price ceiling below the equilibrium price, the result will be to
A) increase total surplus.
B) create deadweight loss.
C) increase surplus and create deadweight loss.
D) eliminate deadweight loss.
B
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When allocating resources using market price
A) everyone who is willing and able to pay for a good gets one. B) everyone who wants a good gets one. C) everyone who is willing to pay for a good gets one. D) everyone who is able to pay for a good gets one.
Describe the structure of the Fed's Open Market Committee (FOMC). What is this committee's primary responsibility?
What will be an ideal response?
An inverted yield curve is a valuable forecasting tool because:
A. investors are expecting higher short-term rates in the future, and this usually signals an economic slowdown. B. inverted yield curves signal better economic times are expected. C. the yield curve usually is inverted so it reflects a growing economy. D. the yield curve seldom is inverted and can signal an economic slowdown.
If consumption is greater than disposable income, the only APS that could possibly be right from among the following would be
A. -.1. B. 0. C. .1. D. 1.0.