Other things equal, cost-push inflation results in output ________ and the price level ________.
A. increasing; increasing
B. decreasing; decreasing
C. decreasing; increasing
D. increasing; decreasing
Answer: C
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Travel websites such as Travelocity tend to offer reservation services for multiple travel modes. This is because
A) the firms have contractual obligations to offer reservations for airlines and railroads, for example. B) the firms have statutory obligations to offer reservations for airlines and railroads, for example. C) once the firm has the reservation technology for airlines, there are economies of scale in offering the same service for railroads. D) once the firm has the reservation technology for airlines, there are economies of scope in offering the same service for railroads.
The United States has had:
A. high relative mobility in the last century, and lower absolute mobility. B. low absolute mobility in the last century, but higher relative mobility. C. high absolute mobility in the last century, and lower relative mobility. D. low relative mobility in the last century, and even lower absolute mobility.
If the government removes a binding price ceiling from a market, then the price received by sellers will
a. decrease, and the quantity sold in the market will decrease. b. decrease, and the quantity sold in the market will increase. c. decrease, and the quantity sold in the market will increase. d. increase, and the quantity sold in the market will increase.
Engel's Law, relating to the demand for food,
a. states that food demand is inelastic b. holds more strongly in developed countries c. indicates why the food sector experiences more than proportionate increases in quantities demanded as incomes rise d. shows why food demand expands as citizen education improves e. was only relevant when established in the 1800s