The effect of successful compliance with recycling regulation by homeowners on the market for recycled paper along with a concurrent rise in demand for products made with recycled paper is best shown by a shift to the right in the supply of and demand for recyclable paper and a certain drop in its price.
Answer the following statement true (T) or false (F)
False
Successful compliance with recycling regulation and increased demand for products using recycled paper would have the described effects on supply and demand. A shift to the right in supply would lead to a certain drop in prices, but a shift to the right in demand would offset that decline leading to uncertain effects on price.
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According to the new Keynesian economists, SAS adjusts slowly to a change in AD because of
A) high menu costs. B) staggered overlapping wage contracts. C) efficiency wages. D) All of the above combinations explain slow adjustments in SAS.
The American Economic Association limiting its presidential vote to only one candidate is an example of agenda control
a. True b. False
Real GDP
a. is nominal GDP adjusted for changes in the price level. b. is also called nominal GDP. c. measures GDP minus depreciation of capital. d. will always change when prices change.
From society's standpoint, cooperation among oligopolists is
a. desirable, because it leads to less conflict among firms and a wider variety of products for consumers. b. desirable, because it leads to an outcome closer to the competitive outcome than what would be observed in the absence of cooperation. c. undesirable, because it leads to output levels that are too low and prices that are too high. d. undesirable, because it leads to output levels that are too high and prices that are too high.