Refer to Scenario 3.1 below to answer the question(s) that follow.SCENARIO 3.1-Streaming movies and movies shown in theaters are substitutes. -Streaming movies and OLED TVs are complements. -OLED TVs and movies shown in theaters are normal goods. -People watch streaming movies more often in the winter than in the summer.Refer to Scenario 3.1. To raise additional revenues, the government imposes an entertainment tax on movie tickets, but there are no new additional taxes levied on streaming movies. This would lead to
A. an increase in the price of movie tickets and the price of streaming movies.
B. an increase in the price of a movie ticket and a decrease in the price of streaming movies.
C. an increase in the price of movie tickets, but no change in the price of streaming movies.
D. no change in the price of a movie ticket and an increase in the price of streaming movies.
Answer: A
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Suppose researchers discover that a government program to match job seekers and employers has caused an increase in the unemployment rate. Does this mean that the program has failed?
What will be an ideal response?
When represented graphically, the government's demand for funds curve is
a. downward sloping b. upward sloping c. vertical d. initially downward sloping, then upward sloping e. initially rightward sloping, then downward sloping
The opportunity cost of postponing income to some future time depends on the interest rate.
Answer the following statement true (T) or false (F)
Answer the following statement(s) true (T) or false (F)
1. Since the 1980s, the upper fifth of earners have seen their percentage of income drop. 2. Older people tend to have higher incomes than middle-aged and younger people. 3. Workaholics earn less than others with comparable skills. 4. Income inequality in the United States is worse than any other country. 5. Political and social conditions have decreased income inequality over the past couple of centuries.