A local restaurant increases the prices on its burgers as soon as it begins a promotional campaign. Which of the following is most likely to be true?
a. The promotional campaign featured how much better their burgers are
b. The promotional campaign focused on the value per dollar
c. The promotional campaign made demand more elastic
d. All of the above
a
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According to real business cycle theory, a likely cause of an increase in employment is ________
A) an increase in the real wage B) an increase in aggregate demand C) a decrease in the real wage D) a decrease in the real interest rate
Suppose the Tooth Fairy paid 50 cents for a tooth in 1970 . The CPI in 1970 was 38.8, while the CPI in 2010 was 218.1 . What is the value of the Tooth Fairy's payment in 2010 dollars?
Some economists argue that
a. monetary policy should actively be used to stabilize the economy. b. fiscal policy should actively be used to stabilize the economy. c. fiscal policy can be used to shift the AD curve. d. All of the above are correct.
Because resources are scarce relative to wants, the study of economics concerns
A. how money is important to people. B. how money is used to buy what people want. C. how individuals, businesses, and governments make choices. D. None of these are correct.