Which of the following would cause an increase in the price of gasoline and an expansion in the equilibrium quantity?
a. an increase in the price of crude oil, a key ingredient required for the production of gasoline
b. the introduction of a miracle carburetor that substantially improves the gas mileage of automobiles
c. a recession that substantially reduces the income of households
d. an increase in the popularity and use of Sport Utility Vehicles that consume a lot of gasoline per mile driven
D
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Domestic firms often claim that foreign firms have an unfair advantage because foreign workers are willing to work for very low wages
a. True b. False Indicate whether the statement is true or false
A good example of a market that resembles a contestable market would be
A. electric power production. B. trucking companies. C. auto manufacturing. D. urgent-care clinics.
It is claimed that a secondary advantage of mutual funds is that
a. an investor can avoid investment charges and fees. b. they give ordinary people access to loanable funds for investing. c. they usually outperform stock market indexes. d. they give ordinary people access to the skills of professional money managers.
The process of countries becoming more open to foreign trade and investment is known as
A) autarky. B) foreign exchange. C) globalization. D) protectionism.