Discuss the correct and incorrect economic analysis in the following statements
"If a disease kills a large number of turkeys, the supply of turkeys will decrease. This will result in a price increase, which will then cause the supply of turkeys to increase."
What will be an ideal response?
The supply of turkeys will decrease resulting in a higher equilibrium price and a lower equilibrium quantity but the higher price will not shift the supply curve for turkeys.
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The National Football League has long-term leases with the stadiums in major cities. Control of these stadiums is an entry barrier to a potential new football league
Indicate whether the statement is true or false
Policymakers in a country with a balance of payments surplus may not want to see their country's currency appreciate because this would
A) hurt consumers in their country by making foreign goods more expensive. B) hurt domestic businesses by making foreign goods cheaper in their country. C) increase inflation in their country. D) decrease the wealth of the country.
Decreasing government spending and decreasing the minimum wage are two policies that both work to decrease the price level.
Answer the following statement true (T) or false (F)
The first minimum wage law was adopted
A. in England in 1876. B. in the United States in 1938. C. in Germany in 1922. D. in New Zealand in 1894.