Assume that a hurricane in Brazil destroys half of the coffee crop. Considering that Brazil is a major coffee producing country, consumers expect the price of coffee to increase in the near future. How does this reflect on the demand for coffee?
a. There is a movement upward along the demand curve for coffee.
b. The demand curve for coffee shifts inward.
c. The demand curve for coffee shifts outward.
d. There is a movement downward along the demand curve for coffee.
e. The demand for coffee declines.
c
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The Glass-Steagall Act forbids banks from owning
A) municipal bonds. B) corporate stock. C) home mortgages. D) bonds issued by foreign governments.
An economy of 82 million people has twenty percent of them engaged in research and development, where their productivity is 0.003
The economy is on a balanced growth path, when suddenly the productiveness of R&D rises to 0.004. For the one period that begins with this productivity increase, the growth rate of output is ________. [Refer to the instruction above.] A) 8.7% B) 9.4% C) 6.6% D) 7%
One potential implication of the use of fiscal policy is crowding out
What will be an ideal response?
An increase in both the equilibrium price and the equilibrium quantity of DVD players is best explained by:
A. a decrease in the supply of DVD players. B. an increase in the supply of DVD players. C. a decrease in the demand for DVD players. D. an increase in the demand for DVD players.