The stock market provides two functions for corporate financing: reducing investors’ risk and setting the prices of stocks.
Answer the following statement true (T) or false (F)
True
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"Market clearing" refers to the case where
A) the purchase and sale plans of buyers and sellers are fully coordinated. B) quantity demanded equals quantity supplied. C) there is neither a shortage nor surplus of a good. D) all of the above.
A decline in aggregate demand is analogous to an upward movement along the short-run Phillips curve
a. True b. False Indicate whether the statement is true or false
Refer to the graph shown. If hamburgers are produced by a perfectly competitive industry with a market demand D:
A. output will be the same as it would be under monopoly. B. price will equal $6. C. price will equal marginal cost. D. price will be greater than marginal revenue.
Which would be the most accurate statement?
A. No one enjoys a consumer surplus. B. We enjoy a consumer surplus on many goods and services. C. We enjoy a consumer surplus on all goods and services.