The money prices attached to goods in the economy
A) conceal the fact of their scarcity.
B) make the goods artificially scarce.
C) provide information about their scarcity.
D) reflect the level of greed prevailing in particular markets.
C
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Both France and the United Kingdom successfully used exchange-rate targeting to lower inflation in the late 1980s and early 1990s by tying the value of their currencies to the
A) U.S. dollar. B) German mark. C) Swiss franc. D) Euro.
For the past several decades, union membership in the United States has been declining. What has been happening in the rest of the world?
A) Union membership has been increasing in almost every other country. B) In almost every other nation, union membership has held constant. C) In most cases, union membership in other nations has also been falling. D) We do not know because other nations do not keep these statistics.
Which of the following best explains why a firm in a perfectly competitive market must take the price determined in the market?
a. The short-run average total costs of firms that are price takers will be constant. b. If a price taker increased its price, consumers would buy from other suppliers. c. Firms in a price-taker market will have to advertise in order to increase sales. d. There are no good substitutes for the product supplied by a firm that is a price taker.
Comparative advantage is based on
a. capital costs b. labor costs c. opportunity costs d. dollar price e. both labor and capital costs