How much will output be in the short run if price is (a) $120? (b) $135? (c) $150? (d) $175?


(a) 0; (b) 115; (c) 135; (d) 162

Economics

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The interest paid on corporate bonds is not subject to federal taxes.

Answer the following statement true (T) or false (F)

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Which of the following occurs when investment is crowded out by government spending?

A) interest rates fall B) the amount of borrowing by the government falls C) the amount of government debt rises D) consumption increases

Economics

In Figure 6.6 if price is P2, then the industry will:

A. expand. B. contract. C. stay the same size. D. cease to exist.

Economics

If a new governmental policy decreases unemployment benefits, we would expect the labor ________ curve to shift to the ________.

A. supply; right B. supply; left C. demand; left D. demand; right

Economics