An increase in the interest rate is associated with an increase in bond prices
a. True
b. False
Indicate whether the statement is true or false
False
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When firms leave a perfectly competitive market, then, other things remaining unchanged:
a. the market supply will decrease but the market price will rise. b. both the market supply and the market price will fall. c. both the market demand and the price will increase. d. the market demand will decrease but the market price will rise. e. both the market demand and the market supply will decrease.
An increase in income taxes was part of President George W. Bush's plan in 2001 and 2008 to increase aggregate demand
a. True b. False Indicate whether the statement is true or false
Assuming education results in a positive externality, which of the following statements is correct?
a. The social cost of producing education exceeds the private cost of producing education. b. The positive externality can be depicted on a graph by the vertical distance between the supply curve and the social-cost curve. c. The socially optimal quantity of education will exceed the market equilibrium quantity of education. d. All of the above are correct.
Which describes an oligopoly?
a. one firm producing 95% of the output b. two to four firms producing 70% - 80% of the output c. eight to ten firms producing 60% - 70% of the output d. ten or more firms producing 90% of the output