The price level in the economy between 2014 and 2015 rose from 100 to 105. Between 2015 and 2016, the price level rose from 105 to 110.25. How does the short-run Phillips curve predict the unemployment rate will change as a result?
A) The unemployment rate will decrease since inflation decreased.
B) The unemployment rate would not change since there is no change in the rate of inflation.
C) The unemployment rate will increase since inflation increased.
D) The unemployment rate will decrease since inflation increased.
B
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The Bland-Allison Act of 1878 and the subsequent Sherman Silver Purchase Act of 1890:
a. led to an extended period of inflation in the U.S. b. were both followed by increases in the market price for silver. c. had no significant impact on silver prices or the price level. d. decreased the Treasury's supply of silver.
Which one of the following will shift the consumption function downward?
A. an increase in disposable income B. a decrease in disposable income C. legislation making credit harder to obtain D. lower tax rates
In the above table, if the marginal revenue product is $14, how many workers will the profit maximizing monopsonist hire?
A. 2 B. 3 C. 4 D. 5
Monopolistic competition is characterized by
a. one firm selling several products. b. many firms selling the same product. c. many firms selling slightly different products. d. one firm selling one product.