If an economy is experiencing deflation, a decrease in the price level, then the most advantageous actions would be
A. borrowing money at a fixed interest rate and buying a house.
B. borrowing money at a fixed interest rate and buying land.
C. keeping money in a checking account.
D. keeping your wealth in gold and other precious metals.
Answer: C
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The tax on Social Security is statutorily paid _____
a. by individuals b. by employers c. two-thirds by individuals and one-third by employers d. half by individuals and half by employers
What was the total revenue generated before the price change?
a. $140
b. $240
c. $560
d. $700
Suppose you sell surfboards for a living, and you expect the price of surfboards to increase at the same rate as inflation; you adjust your prices accordingly. If this does not occur, then it must be true that:
A. the inflation rate is different from what was expected. B. the relative price of surfboards is changing. C. the price of surfboards is changing at a rate that is different from what was expected. D. both the price of surfboards and the inflation rate are different from what was expected.
If supply decreases while demand is unchanged, the equilibrium price ____ and the equilibrium quantity ____. Question 24 options:
A. does not change; does not change B. rises; decreases C. rises; increases D. falls; increases E. falls; decreases