What are the two types of prices in an economy?
What will be an ideal response?
auction, custom
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How can increased investment help a country achieve increased economic growth? What costs are involved?
Exhibit 6A-5 Consumer Equilibrium
?
Given the budget lines and indifference curves shown in Exhibit 6A-5, if the budget line shifts from AB to AC, then the equilibrium points X and Y:
A. result from a decrease in the price of good X. B. are two points along a downward sloping demand curve for good X. C. result from a decrease in the consumer's budget. D. result from a decrease in the price of good Y.
Refer to Figure 14.2. A movement from point d to point b could be caused by a(n):
A. increase in government spending. B. increase in the price of oil. C. increase in taxes. D. decrease in short-run aggregate supply.
To protect the environment, governments in the United States have mainly used
A. legally enforceable direct controls on pollution. B. taxes on goods whose production creates pollution. C. direct taxes on emissions. D. discretionary guidelines suggested to polluting firms.