Which of the following is true if the international price of coffee increases?
a. The demand for tea, a substitute good, will decrease.
b. The demand for coffee will increase.
c. The demand for coffee and tea will decrease.
d. Both the demand for coffee and tea will increase.
e. The demand for tea, a substitute good, will increase.
E
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A rightward shift in the aggregate demand curve is most likely to result in
A. deflation. B. recession. C. inflation. D. decrease in employment.
The percentage change in the quantity demanded of film divided by the percentage change in the price of cameras indicates
a. the price elasticity of demand for film b. the price elasticity of demand for cameras c. the price elasticity of supply for film d. the price elasticity of supply for cameras e. nothing, because the two goods fall into the broadly defined category of photographic equipment
The theory of population of _____ predicted that the world's population would increase faster than the food supply.
A. Thomas Robert Malthus B. Mancur Olson C. Lester Thurow D. Edward Denison
In the case of rent-seeking behavior in a monopolistic market:
A. the net loss to society is greater than it would have been in the absence of rent-seeking behavior. B. the net loss to society is less than it would have been in the absence of rent-seeking behavior. C. the net loss to society is the same as it would have been in the absence of rent-seeking behavior. D. monopoly profit is higher than if the monopolist did not engage in rent-seeking behavior, but the net loss to society is lower.