The inflation that occurred during the Civil War (1861–1865)
(a) was a means of expropriating resources to fight the war.
(b) was a form of taxation to provide resources to fight the war.
(c) represented a decrease in the purchasing power of money.
(d) was true for all of the above.
(d)
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Describe the changes in the variables that will cause the demand for a product to increase, shifting the demand curve to the right
What will be an ideal response?
At his current level of output, a monopolist has an MR of $10, an MC of $6, and an economic profit of zero. If the market demand curve is downward sloping and his marginal cost curve upward sloping, the monopolist
a. is producing his profit-maximizing level of output. b. could increase his profit by increasing his output. c. could increase his profit by increasing his price. d. should exit the market if he has positive fixed cost.
Suppose that college professors at public universities are unionized. If public university college professors change their minds and vote not to be unionized, the quantity of public university college professors demanded will
a. rise. The supply of workers in other similar professions will also rise. b. rise. The supply of workers in other similar professions will fall. c. fall. The supply of workers in other similar professions will rise. d. fall. The supply of workers in other similar professions will also fall.
Refer to the graph which shows the supply and demand for money where Dm1, Dm2, and Dm3 represent different demands for money and Sm1, Sm2, and Sm3 represent different levels of the money supply. The initial equilibrium point is A. What will be the new equilibrium point following a decrease in the transactions demand for money?
A. B
B. E
C. F
D. I