Which of the following would happen if a law were passed imposing a price ceiling that holds the interest rate charged on credit cards at a rate below the prevailing market rate?
a. The quantity demanded of credit card debt will decrease from its original level.
b. The quantity supplied of credit card debt will increase from the original level.
c. The quantity demanded will exceed quantity supplied.
d. The quantity demanded and supplied of credit card debt would not change.
c. The quantity demanded will exceed quantity supplied.
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Opportunity cost is the combined value of all of the other alternatives that go unselected.
Answer the following statement true (T) or false (F)
Refer to above Table 2-1. What is the level of Personal Saving?
A) 100 B) 90 C) 80 D) 130
Deregulation has contributed to
A) an increase in union membership. B) declines in union membership. C) higher wages in unions. D) an increase in union power.
When the price level rises unexpectedly, some businesses may mistake part of the increase for an increase in the price of their product relative to others and so decrease their production
a. True b. False Indicate whether the statement is true or false