This graph depicts the demand for a normal good. 
A movement from A to C in the graph shown might be caused by:
A. a decrease in price.
B. an increase in price.
C. a decrease in income.
D. an increase in income.
Answer: A
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According to your textbook authors, economics is generally
A) an unbiased science. B) a method rather than a body of settled conclusions. C) founded on the observation of data. D) a false and misleading discipline.
To obtain real average hourly earnings, nominal average hourly earnings are multiplied by the CPI
Indicate whether the statement is true or false
The McCallum management principles advocate the use of
a. time-motion study to determine the most productive way to perform job-tasks. b. employee stock-purchase programs. c. internal accounting systems and performance evaluations. d. leveraged buy-outs to increase the firm's control of an industry.
Assume a perfectly competitive firm sells its output for $150 per unit. At its current 2,000 units of output, marginal cost is $180 and increasing, and average variable cost is $160 . Assuming it wants to maximize its profits, it should: a. increase output
b. decrease output, but not shut down. c. maintain its current output rate. d. shut down.