The classical economists felt that there would be no general overproduction of goods because of
A) wage-price flexibility.
B) the law of diminishing utility.
C) the law of comparative advantage.
D) contestable markets.
A
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What are the reasons for the development and growth of the Eurodollar market?
What will be an ideal response?
A negative externality is the same thing as an external cost
Indicate whether the statement is true or false
Some companies subject their applicants to extensive tests.? Why?
A) to reduce the informational asymmetry between the firm and the applicant
B) to screen the applicant to avoid the problem of adverse selection
C) to gather more information about the applicant
D) All of the above.
(Consider This) The idea that the price level readily moves upward but not downward is called the:
A. elevator effect. B. escalator effect. C. ratchet effect. D. stair-step effect.