A temporary decrease in the price of oil would be considered a:
A. long-run supply shock.
B. demand shock.
C. short-run supply shock.
D. The changing price of oil would not affect any of these.
Answer: C
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Input-output analysis is a technique used to solve complicated market equations.
Answer the following statement true (T) or false (F)
Government spending shrank the most in _____ relative to GDP between 1997 and 2016
a. Canada b. Australia c. Germany d. Spain e. the U.K.
The socially efficient level of output is determined where:
a. marginal social cost equals marginal social benefit. b. marginal private cost equals marginal social benefit. c. average social cost equals average social benefit. d. average private cost equals average social benefit.
The statement, "Assuming that if it is rational for one person to stand at a football game to get a better view then it is rational for everyone to stand at a football game to get a better view" is an example of:
A. the fallacy of division. B. the ceteris paribus assumption. C. economic reasoning. D. the fallacy of composition.