Other things equal, high interest rates increase the government deficit because of higher government interest payments.
Answer the following statement true (T) or false (F)
True
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Most economists are in agreement that minimum wages cause unemployment and make some people worse off as a result. However, does that imply that it makes everyone worse off? Who might benefit?
What will be an ideal response?
What is a shortcoming of price control legislation?
a. Price controls lower the quantity supplied. b. Price controls create surpluses. c. Price controls decrease the quantity demanded. d. All of the above are shortcomings of price controls.
If the price of cotton used in making blue jeans increases, which of the following will occur?
A) There will be a movement along an unchanged supply curve for jeans. B) The supply curve for jeans will shift rightward. C) The supply curve for jeans will shift leftward. D) There will be a rightward shift in the supply curve for jeans, followed by a movement along the supply curve.
A firm that has negative economic profits has accounting profits that are
A) zero. B) positive. C) negative. D) indeterminate without more information.