Suppose that when the price of oranges decreases, Sarita decreases her purchases of peaches. To Sarita,
A) oranges and peaches are normal goods. B) oranges and peaches are substitutes.
C) oranges and peaches are complements. D) oranges and peaches are inferior goods.
B
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Presently, GDP is ________ to compensate for the costs of environmental damage
A) adjusted on a chain-weight basis B) partially adjusted C) not adjusted D) fully adjusted
The fact that developed countries have strong, widely attended university systems indicates that
(a) university expansion should be a development priority. (b) universities teach skills used on the job. (c) developing countries place too much stress on agriculture. (d) none of the above.
The supply curve for bonds would be shifted to the left by
A) a decrease in government borrowing. B) a decrease in the corporate tax on profits. C) an increase in tax subsidies for investment. D) an increase in expected inflation.
The Board of Governors of the Federal Reserve System is
A) elected by the member banks' presidents. B) appointed by the Secretary of the Treasury C) appointed by the state governors in each Federal Reserve district. D) appointed by the president of the United States and confirmed by the Senate.