In a market system, resources will move away from an industry when

What will be an ideal response?


demand for the industry's product is decreasing.

Economics

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An economy with an expansionary gap will, in the absence of stabilization policy, eventually experience a(n) ________ in the inflation rate, leading to a(n) ________ in output.

A. decrease; increase B. increase; increase C. decrease; decrease D. increase; decrease

Economics

Refer to Figure 2-2. What is the opportunity cost of one dozen orchids?

A) 0.4 dozen roses B) 2.5 dozen roses C) 7.25 dozen roses D) 16 dozen roses

Economics

Total costs:

A. are fixed costs plus variable costs. B. include explicit and implicit costs. C. increases as the firm increases output. D. All of these are true.

Economics

The 45-degree line, measuring Y = C + S, is also called the

a. saving line b. consumption curve c. income line d. investment curve e. GDP curve

Economics