Lower real income ________ the demand for money and a lower price level ________ the demand for money.
A. decreases; decreases
B. increases; increases
C. increases; does not change
D. increases; decreases
Answer: A
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Which of the following statements about the 2000 average wages of blacks and Hispanics compared to whites is most accurate?
a. African Americans earn about the same was whites but Hispanics earn about 70% of what whites earn. b. African Americans earn about 70% of what whites earn, while Hispanics earn about 75% of what whites earn. c. Hispanics earn about the same was whites but African Americans earn about 70% of what whites earn. d. African Americans and Hispanics earn less than half of what whites earn.
The production possibilities frontier (PPF) illustrates the combinations of goods that society can consume when trading with other producers
a. True b. False Indicate whether the statement is true or false
The market labor-supply curve is:
A. downward sloping. B. perfectly inelastic. C. perfectly elastic. D. upward sloping.
When productive activities are organized according to the principle of the division of labor
A) scarcity is eliminated. B) we do not devote enough resources for capital investment. C) total output increases due to the advantages of specialization. D) an inefficient outcome results.