Suppose the economy is at a short-run equilibrium GDP that lies above potential GDP. Which of the following will occur because of the automatic mechanism adjusting the economy back to potential GDP?
A) Output will increase. B) Short-run aggregate supply will shift to the left.
C) Unemployment will decline. D) Prices will decline.
B
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As opposed to general-equilibrium analysis, partial equilibrium analysis looks
A) at an equilibrium and changes to it in a single, isolated market. B) at how changes in one market effect other markets. C) at how equilibrium is determined in all markets simultaneously. D) at either price or quantity movements.
Which of the following is not correct?
a. Economists use some familiar words in specialized ways. b. Economics has its own language and its own way of thinking, but few other fields of study do. c. Supply, demand, elasticity, comparative advantage, consumer surplus, and deadweight loss are all terms that are part of the economist's language. d. The value of the economist's language lies in its ability to provide you with a new and useful way of thinking about the world in which you live.
According to 2014 data on the U.S. population, which of the following was correct?
a. Adults of prime working age (ages 25-54) had both higher labor-force participation rates and higher rates of unemployment compared to teenagers. b. Adults of prime working age (ages 25-54) had higher labor-force participation rates and lower rates of unemployment compared to teenagers. c. Adults of prime working age (ages 25-54) had both lower labor-force participation rates and lower rates of unemployment compared to teenagers. d. Adults of prime working age (ages 25-54) had lower labor-force participation rates and higher rates of unemployment compared to teenagers.
Securities dealers that trade stocks and bonds ________ comprise the over-the-counter market
A) directly instead of electronically B) outside exchanges C) that have previously been sold D) valued at less than $1 each