During an economic expansion, automatic stabilizers:
A. increase both budget surpluses and deficits.
B. reduce a budget surplus or increase a deficit.
C. reduce a budget deficit or increase a surplus.
D. reduce both budget surpluses and deficits.
Answer: C
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Some parents struggling with back-to-school buys. "A couple of years ago, I was able to buy everything practically new," said Charles Lane-Bey, a U.S. Postal Service worker who's struggling to make ends meet
Suppose Charles has $10 to spend on back-to-school clothing for his son, and pants cost 50 cents and shirts cost $1. Which of the following combinations of pants and shirts is affordable? A) 10 pants and 6 shirts B) 7 pants and 7 shirts C) 3 pants and 8 shirts D) 6 pants and 2 shirts
If a price ceiling of $8 were placed in the market in the graph shown:
A. a shortage of 7 would occur.
B. a shortage of 15 would occur.
C. a shortage of 23 would occur.
D. a shortage of 8 would occur.
A franchisee faces_____ risk than a salaried manager
a. More b. Less c. The same d. None of the above
Even though a cartel is often profitable for its members, cartel arrangements contain the seeds of their own disintegration because
a. a price maintained above each cartel member's marginal cost provides each member with an incentive to offer secret price reductions to attract additional customers. b. the profits earned by cartel members will induce others to enter the industry. c. cartel members will attempt to garner more of the total profit for themselves by cheating on their agreement with other members. d. all of the above are correct.