The housing shortages caused by rent control are larger in the long run than in the short run because both the supply of housing and the demand for housing are more elastic in the long run
a. True
b. False
Indicate whether the statement is true or false
True
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When new firms enter a perfectly competitive market, the market supply curve shifts ________ and the price ________
A) rightward; falls B) rightward; rises C) leftward; falls D) leftward; rises E) rightward; does not change
Refer to Figure 2-5. If the economy is currently producing at point W, what is the opportunity cost of moving to point X?
A) 19 million tons of steel B) 5 million tons of paper C) 9 million tons of paper D) 3 million tons of steel
Suppose air pollution creates a haze that obscures a previously clear view of a distant mountain range. This effect of pollution would be called
A. material and crop damage. B. a health impact. C. harm to environmental amenities. D. ecological damage.
One explanation given in the video for the fluctuations of an economy's real growth rate around its potential growth rate is:
A. that there are often shocks to the planned level of spending. B. that there are often shocks to the money supply. C. that the potential growth is inaccurately calculated. D. that there are often shocks to the key growth factors