Either a price floor or a price ceiling above the equilibrium price would cause a surplus
a. True
b. False
Indicate whether the statement is true or false
False
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Which of the following statements is true of the quantity theory of money?
A) The theory explains the relationship between growth in real GDP and changes in nominal interest rates. B) The theory states that inflation will always be positive. C) Predictions of the theory can be verified with data. D) The theory is applicable only in the short run.
The opportunity cost of the U.S. producing tea or coffee is measured by the value of the foregone production alternative—manufacturing or staples
Indicate whether the statement is true or false
If the dollar-per-pound exchange rate decreases,
a. British goods become more expensive to the British. b. British goods become more expensive to Americans. c. British goods become less expensive to Americans. d. British goods become less expensive to Europeans. e. none of the above.
Give the economic interpretation of each of the labeled areas: A, B, C, and D.
Use the following graph of the refined petroleum market to answer the questions below.
