An increase in the interest rate could have been caused by
a. a fall in the price level causing the money-demand curve to shift leftward.
b. a fall in the price level causing the money-demand curve to shift rightward.
c. a rise in the price level causing the money-demand curve to shift leftward.
d. a rise in the price level causing the money-demand curve to shift rightward.
d
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Give an example of a price floor. Draw a corresponding diagram and explain why there is a continuing surplus.
What will be an ideal response?
Suppose it costs a farmer $1.00 to produce 1 unit of corn, $2.10 to produce 2 units of corn, and $3.30 to produce 3 units of corn. What's the marginal cost of producing 3 units of corn?
A) 0 B) 30 cents C) $1.10 D) $1.20 E) $3.30
Adverse selection is created by
A) incentives to change behavior after two parties have reached an agreement. B) risk. C) lump-sum taxes. D) private information.
Which of the following is not associated with global poverty?
A. Long life expectancy. B. The inequality trap. C. Prevalence of HIV. D. Lack of education.