The above figure shows the market for neckties after the government has imposed a tax. How much deadweight loss results from this tax?
A) $250.00
B) $200.00
C) $150.00
D) $50.00
D
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Which organization is responsible for managing the nation's money supply?
A) Fort Knox B) The United States Congress C) The United States Treasury D) The Federal Open Market Committee E) The American Economic Association
The law of demand says that in most cases, the lower the price, the lower the quantity demanded.
Indicate whether the statement is true or false.
The stock of capital ________ with any gross investment and ________ with any depreciation.
A. increases; increases B. increases; decreases C. decreases; increases D. decreases; decreases
The tendency for ________ to decrease when ________ decreases is the result of the accelerator effect.
A. aggregate output; saving B. consumption; investment C. saving; consumption D. investment; aggregate output