The imposition of a tax on a product
A) shifts the supply curve to the right.
B) shifts the demand curve to the right.
C) shifts both the supply and the demand curve to the right.
D) shifts the supply curve to the left.
D
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What is Spain's domestic exchange equation?
In high inflation countries, inflation rates can exceed the rate of growth of money because:
A. money loses value quickly with inflation. B. high inflation increases the velocity of money. C. high rates of inflation increase the opportunity cost of holding money. D. all of the answers given are correct.
Which of the following statements reflect sound economic reasoning?
A) If domestic production of a good will employ lots of people, the good should be produced domestically. B) Higher tariffs will increase the total volume of international trade. C) Foreign competition will reduce the wealth of Americans. D) If it is more economical to acquire a good through trade than by self-production, it makes sense to trade for it.
If more international tourists visited the United States, this would
A. lower the U.S. merchandise trade imbalance. B. lower the U.S. overall trade imbalance. C. raise the U.S. merchandise trade imbalance. D. raise the U.S. overall trade imbalance.