If the price of gasoline were $5, many people would stop buying gasoline while others would continue to do so. This would indicate
A) those who are buying gasoline value it at least $5 per gallon.
B) those who are not buying gasoline value it more than $5 per gallon.
C) only those who are extremely wealthy are buying gasoline.
D) the price of gasoline needs to be regulated by the Federal Government.
A
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The above table gives information for the nation of East Hampton
a. Find aggregate planned expenditure for each level of real GDP. b. What is the MPC? c. What is the equilibrium level of real GDP?
Seller A, has an upward-sloping supply curve, and is willing to supply 400 units of a commodity at a price of $5 per unit. Seller A is now willing to supply 500 units at a price of $5 per unit. Evidently, seller A has experienced a(n):
a. increase in supply. b. decrease in supply. c. increase in quantity supplied. d. decrease in the quantity supplied. e. decrease in demand.
As its capital stock increases, a nation will
a. move rightward along a fixed production function b. move leftward along a fixed production function c. find its production function shifting upward d. find its production function shifting downward e. experience no change in the marginal product of labor
Company X is a perfume manufacturer and one of its popular products involves rosewood. It is deeply concerned with the market price fluctuations of rosewood. To protect this, it enters into a contract which would allow the company to buy rosewood at a specific price at a given future date. This is an example of
A. speculation. B. profit maximization. C. hedging. D. investment.