In an open economy, the demand for loanable funds comes from
a. only those who want to buy domestic capital goods.
b. only those who want to buy foreign assets.
c. those who want to buy either domestic capital goods or foreign assets.
d. None of the above is correct.
c
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A decrease in foreign demand for U.S. exports will ____ the demand for U.S. dollars and cause the U.S. dollar to ____ in value
a. increase; appreciate b. increase; depreciate c. decrease; appreciate d. decrease; depreciate
If a four-firm concentration ratio in an industry equals 75 percent, this implies that
a. 75 percent of all profits in the industry accrue to the leading four firms b. 25 percent of sales in the industry are accounted for by the four leading firms c. the four firms represent 75 percent of all the firms in the industry d. the four firms represent 25 percent of all the firms in the industry e. 75 percent of all sales in the industry are accounted for by the four leading firms
The flatter the demand curve through a given point, the
a. greater the price elasticity of demand at that point. b. smaller the price elasticity of demand at that point. c. closer the price elasticity of demand will be to the slope of the curve. d. greater the absolute value of the change in total revenue when there is a movement from that point upward and to the left along the demand curve.
How can we anticipate the proportion of a newly imposed unit excise tax that consumers will pay?
A) Consumers will pay most of the tax whenever their demand for a product is relatively unresponsive to price changes. B) Consumers will always pay 100 percent of an excise tax. C) Consumers will pay most of the tax whenever their demand for the product is very price sensitive. D) Since producers always pay 100 percent of an excise tax, we know consumers will not pay any of the tax.