For a given price, a decrease in demand will decrease consumer surplus

Indicate whether the statement is true or false


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Economics

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If the money wage rate increases, then the

A) aggregate supply curve shifts rightward. B) potential GDP increases. C) potential GDP decreases. D) aggregate supply curve shifts leftward. E) aggregate demand curve shifts leftward.

Economics

Consumer groups tend to lobby for

A) price floors. B) price ceilings. C) quantity quotas. D) taxes.

Economics

If the average propensity to consume is initially 0.8, the marginal propensity to consume is 0.75, and real disposable income increases by $1000, the new value of saving is

A) $200. B) $250. C) $800. D) $750.

Economics

If the Fed wanted to expand the money supply as part of an antirecession strategy, it could

a. increase the reserve requirements. b. buy U.S. securities on the open market. c. raise the discount rate. d. sell U.S. securities on the open market.

Economics