The economy's self-correcting mechanism is such that demand shocks are offset in the long run by shifts of aggregate supply and supply shocks are offset by shifts of aggregate demand
a. True
b. False
B
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Individual decision making by consumers and producers is the focus of
A) macroeconomics. B) microeconomics. C) aggregate measures. D) any economic model.
Which of the following factors weakens the case for private-sector provision of goods and services as opposed to public-sector provision?
a. weak incentives for operational efficiency b. rent-seeking c. the shortsightedness effect d. externalities
Dent 'n' Scratch Used Cars and Trucks employs 3 salesmen. Data for their sales last month are shown in this table: Cars SoldTrucks SoldLarry105Joe99Ralph312 Based on last month's data, Larry's opportunity cost of selling a truck is selling:
A. 2 cars. B. 1 car. C. 10 cars. D. 1/2 of a car.
The figure below shows private supply and demand for flu vaccines.
