Increases in the overall price level:
A. increases people's dollar-denominated wealth.
B. generally has no effect on spending.
C. result in people increasing their consumption.
D. result in people reducing their consumption.
D. result in people reducing their consumption.
You might also like to view...
Comparative advantage is most closely related to which of the following concepts?
A) efficiency B) opportunity cost C) fairness D) productivity E) competition
Many developing countries have a static comparative advantage in the production of one or two primary products. In what ways might specialization in these products contribute to growth and development? In what ways might this fail to contribute?
What will be an ideal response?
The marginal rate of transformation of y for x represents
A) the slope of the budget constraint. B) the rate at which the consumer must give up y to get one more x. C) -Px/Py. D) All of the above.
In a command economy, resources are publicly owned by government and economic activity is coordinated through a central government planning authority
a. True b. False Indicate whether the statement is true or false