A new fad dramatically increases the demand for donut-holes, the leftovers produced from donut production. According to economic theory, one would expect

A. the price of donuts to fall.
B. that one cannot tell.
C. the price of donuts to stay the same.
D. the price of donuts to rise.


Answer: A

Economics

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A “backstop resource” is a close substitute for a depletable resource that is available in almost unlimited supply but at a higher cost. Shale oil is a backstop resource for crude oil. Which of the following statements is correct?

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Economics

If UIP holds and if the home currency is expected to depreciate, then:

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Economics

In the United Kingdom accountability and transparency for its central bank is achieved by setting:

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Economics