The price of a gallon of milk falls. Which of the following is a possible cause?
A) a decrease in the price of oatmeal, a complement to milk
B) a discovery that milk cause diabetes
C) Milk is a normal good and people's incomes rise.
D) a drought that reduces supplies of feed grains fed to cows that produce milk
B
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Refer to Figure 11-13. The lines shown in the diagram are isocost lines. Which of the following shows an increase in the price of labor while the price of capital remains unchanged?
A) the movement from BF to CE B) the movement from BF to BD C) the movement from AF to BD D) the movement from AF to CE
Federal Reserve governors are given long terms to insulate them from politics
a. True b. False Indicate whether the statement is true or false
Which of the following goods is not excludable and not rival in consumption?
a. fish in the ocean b. tickets to a professional basketball game c. a tornado siren d. a premium television channel
Consider the market for medical doctors. Suppose the opportunity cost of going to medical school increases for many individuals. Suppose it generally takes about ten years to become a practicing doctor. Holding all else constant, in ten years the equilibrium wage for doctors will
a. increase. b. decrease. c. not change. d. It is not possible to determine what will happen to the equilibrium wage.