If a large increase in the wage rate leads to a net increase in the use of land by a firm, then
A. the substitution effect outweighed the output effect.
B. the output effect outweighed the substitution effect.
C. the substitution and output effects are equal.
D. there is no way to estimate the relative sizes of the substitution and output effects.
A. the substitution effect outweighed the output effect.
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As of October 2012, which of the following was true?
A) deposits of foreign governments and international organizations > bank reserves > currency in circulation B) currency in circulation > bank reserves > deposits of foreign governments and international organizations C) bank reserves > currency in circulation > deposits of foreign government and international organizations D) currency in circulation > deposits of foreign governments and international organizations > bank reserves
Profits earned by foreign firms or governments under a quota are called:
A. quota rents. B. quota revenue. C. trade costs. D. trade rents.
When the price of hamburger went from $3 to $4 a pound, the quantity demanded of buns changed from 30 to 25 packages a day. The cross-price elasticity of demand for hamburger (using the initial value formula) is:
A. 1.4. B. 0.6. C. -0.6. D. There is not enough information to answer this question.
Figure 14.1 shows three aggregate demand curves. A shift from curve AD1 to curve AD0 could be caused by a(n):
A. decrease in the money supply. B. decrease in taxes. C. increase in the price level. D. increase in government spending.