Suppose you were to hear a politician defend the minimum wage on the grounds that workers would be happier and more productive with a higher minimum wage, you would know this person to be relying on the ________ argument.

A. elasticity
B. macroeconomic
C. consumer and producer surplus
D. work effort


Answer: D

Economics

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When cash or coins are deposited in a transactions account at a bank, the size of M1 changes.

Answer the following statement true (T) or false (F)

Economics

Which of the following statements is true?

A. When explanatory variables are not strictly exogenous, the t test for serial correlation is valid. B. When explanatory variables are not strictly exogenous, the Durbin Watson test for serial correlation is valid. C. Breusch-Godfrey test can be used to check for second order serial correlation. D. White test can be used to check for second order serial correlation.

Economics

If two nations have straight-line production possibilities curves:

A. then their trading possibilities curves must lie inside the production possibilities curves. B. there will be no basis for mutually advantageous trade. C. there will be a basis for mutually advantageous trade whether the slopes are equal or not. D. there will be a basis for mutually advantageous trade provided the slopes differ.

Economics

A market with three firms in competition with each other has a equilibrium price of $5 and equilibrium quantity of 10,000. If the three firms form a cartel, the cartel, set price will be ________ than $5 and the set quantity will be ________ than 10,000.

A) greater; less B) less; greater C) greater; greater D) less; less

Economics