Refer to the figure above. In autarky, the economy would be in general equilibrium at point
A) I.
B) D.
C) E.
D) F.
C
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ZappIt Co produces limited edition action figures and is willing to receive $100 per figure. In 2015, the market price for an action figure went up from $125 to $150 . In 2016, the market price for an action figure decreased from $150 to $130 . The producer surplus received by ZappIt Co _____
a. increased in 2015, but decreased in 2016 b. decreased in both 2015 and 2016 c. decreased in 2015, but increased in 2016 d. increased in both 2015 and 2016
Assume that the expectation of declining housing prices cause households to reduce their demand for new houses and the financing that accompanies it. If the nation has low mobility international capital markets and a flexible exchange rate system, what happens to the quantity of real loanable funds per time period and real GDP in the context of the Three-Sector-Model?
a. The quantity of real loanable funds per time period falls, and real GDP falls. b. The quantity of real loanable funds per time period falls, and real GDP rises. c. The quantity of real loanable funds per time period rises, and real GDP remains the same. d. The quantity of real loanable funds per time period and real GDP remain the same. e. There is not enough information to determine what happens to these two macroeconomic variables.
Based on the comparative cost ratios implied in Figure 35.2, it is clear that
A. Mexico should import all of its golf shoes from the United States. B. The United States should import all of its baseballs from Mexico. C. The United States should specialize in producing golf shoes, and Mexico should specialize in producing baseballs. D. The United States has a comparative advantage in baseballs and Mexico has a comparative advantage in golf shoes.
The linear probability model always contains heteroskedasticity when the dependent variable is a binary variable unless all of the slope parameters are zero.
Answer the following statement true (T) or false (F)