In the simple Keynesian model, the aggregate supply curve has a horizontal segment at levels of output below the level of natural Real GDP and a vertical segment at the level of natural Real GDP
Indicate whether the statement is true or false
True
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Utilitarianism argues that
A) Only equality brings efficiency. B) There is a tradeoff between equality and efficiency. C) The result is fair if the rules are fair. D) The competitive market is fair.
The increase in welfare in both countries that results from specialization and trade is called:
A. surplus enhancement. B. exportation surplus. C. gains from trade. D. deadweight gain.
A meatball sandwich vendor finds that when he charges a price of $6, he sells 100 meatball sandwiches. When he charges a price of $4, he sells 200 meatball sandwiches. The marginal revenue for each of the additional 100 meatball sandwiches he sells is
a. $6 b. $4 c. $3 d. $2 e. $1
How does a monopolist's marginal revenue change as output increases? Why?
What will be an ideal response?