A higher price level would mean ____ for a person who has a bank deposit of $2 million
a. an increase in real income
b. a decrease in real wealth
c. a decrease in nominal income
d. an increase in nominal income
b
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The typical age-earnings cycle shows that
A) there is a positive relationship between age and earnings that eventually turns into a negative relationship. B) there is a constant positive relationship between age and earnings. C) there is a constant negative relationship between age and earnings. D) there is no relationship between age and earnings.
In a perfectly competitive market, a given short-run equilibrium cannot persist into the long run unless the firms are earning (suffering)
a. above-normal profits b. below-normal profits c. economic losses d. economic profits e. just enough profit to cover all the owners' opportunity costs
Those who believe that monopolies are both inevitable and undesirable would probably support price regulation
Indicate whether the statement is true or false
When economists say the supply of a product has increased, they mean the
a. supply curve has shifted to the right. b. price of the product has risen, and consequently, suppliers are producing more of it. c. supply curve has shifted to the left. d. amount of the product that consumers are willing to purchase at various prices has increased.