Suppose over some period of time the money supply tripled, velocity doubled, and real GDP doubled. According to the quantity equation the price level is now
a. 6 times its old value.
b. 3 times its old value.
c. 1.5 times its old value.
d. 0.75 times its old value.
b
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The figure above shows depicts the marginal revenue and costs of a perfectly competitive firm. The price the firm charges is
A) $4 per unit. B) $8 per unit. C) $16 per unit. D) None of the above answers is correct.
Economists argue that the corporate income tax is an example of a tax with a high deadweight loss because
A) it encourages corporations to seek ways to evade taxes. B) taxing a corporation's income amounts to double taxing the earnings on individual shareholders' investments in corporations. C) some of the burden of the tax is passed on to consumers in the form of higher prices. D) it discourages corporations from undertaking capital investments to enhance market competitiveness.
Explain how Eurobanks played a role in the Iranian Hostage Crisis in 1979
What will be an ideal response?
Suppose electricity (E) can be produced with coal (C) or gas (G) to operate steam turbines (T). Suppose gas is more efficiently burned than coal but that they are otherwise perfect substitutes. E = min((G + .5C), T). The isoquants between gas and coal will be
a. hyperbolas b. quarter circles c. straight lines