Firms that spend a large amount of money on advertising a particular product are likely to be providing consumers with
a. information about the availability of the product.
b. information about product price.
c. a signal of product quality.
d. a good example of wasted resources.
c
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Explain the differences between the public debt and the government budget deficit
What will be an ideal response?
If a positive permanent supply shock were to occur, the resulting equilibrium would be a:
A. higher level of output at lower prices. B. lower level of output and prices. C. higher level of output and prices. D. lower level of output at higher prices.
For barter to occur there must be
A. no markets for people to exchange goods. B. one person who pays cash. C. services in exchange for goods. D. a double coincidence of wants for each good to be exchanged.
Refer to the information provided in Figure 6.2 below to answer the question(s) that follow.
Figure 6.2Refer to Figure 6.2. Assume Mr. Lingle is on budget constraint AC. If the price of a beer is $4, Mr. Lingle?s monthly income is
A. $10. B. $40. C. $160. D. $200.