Events like war often destroy technology, decreasing a nation's long-run capacity to produce. This will cause:
a. the long-run aggregate supply curve to shift rightward
b. the long-run aggregate supply curve to shift leftward.
c. an upward movement along the long-run aggregate supply curve.
d. a downward movement along the long-run aggregate supply curve.
b
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After a price ceiling of $8 is placed on the market in the graph shown, the total number of units traded:
A. falls by 8 relative to equilibrium.
B. falls by 15 relative to equilibrium.
C. falls by 23 relative to equilibrium.
D. increases by 15 relative to equilibrium.
Union membership over the last five decades has
a. grown at the same rate as the labor force b. become much more attractive and has grown more rapidly than the labor force c. become much more attractive d. grown more rapidly than the labor force e. declined
In the supply-and-demand diagram of the market for peanut butter, the equilibrium point has moved down and to the right. What could have caused this?
A) a fall in the price of peanuts B) a rise in the price of peanuts C) a rise in income, assuming that peanut butter is an inferior good D) a shift in preferences toward peanut butter
One of the strongest motivations for holding the Bretton Woods Conference was to design new international institutions that would
A) contain communism. B) help countries avoid the mistakes of the 1920s and 1930s. C) provide a collective defense security for Western Europe and North America. D) ensure that world prices were not rising too rapidly.