Max has allocated $100 toward meats for his barbecue. His budget line and an indifference map are shown in the above figure. What is the price of chicken?
A) $0.80/lb
B) $1.25/lb
C) $4/lb
D) $5/lb
D
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If the aggregate demand curve shifts to the left and the aggregate supply curve shifts to the right, the result will be a
A. decrease in the level of output. B. decrease in the price level. C. higher price level. D. higher unemployment rate.
Exhibit 1A-1 Straight line
As shown in Exhibit 1A-1, the slope of straight line AB:
A. decreases with increases in X. B. increases with increases in X. C. increases with decreases in X. D. remains constant with changes in X.
Dynamic tax analysis is based on the recognition that as tax rates are increased
A) tax revenue collections will eventually decline. B) tax revenue collections will continually increase. C) tax revenue collections will change at the same rate as the tax rates. D) tax revenue collections will increase at a faster rate than the tax rate change.
At a perfectly competitive firm, all of the following is true of the MRP curve EXCEPT
A. the MRP curve shifts rightward when the product price rises. B. the MRP curve shifts leftward when the demand for the final product falls. C. the MRP curve shifts leftward when labor productivity falls. D. the MRP curve is the derived supply of labor.