When the price of an asset rises above what appears to be its fundamental value, the market is said to be experiencing a speculative bubble
a. True
b. False
Indicate whether the statement is true or false
True
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The highest and most prolonged period of unemployment in the United States over the last 125 years occurred during
A) World War II. B) the 1890s Depression. C) the 1990-1991 recession. D) the Great Depression of the 1930s.
If the price of golf balls increases, what will likely happen to the demand for golf club manufacturing employees?
A) It will increase. B) It will decrease. C) It will stay the same. D) Nothing, the two are not related.
A young chef is considering opening his own sushi bar. To do so, he would have to quit his current job, which pays $20,000 a year, and take over a store building that he owns and currently rents to his brother for $6,000 a year. His expenses at the sushi bar would be $50,000 . for food and $2,000 for gas and electricity. What are his implicit costs?
a. $26,000. b. $66,000. c. $78,000. d. $52,000. e. $72,000.
The most appropriate countercyclical policy, or stabilization policy, in times of unemployment, according to classical economists, is for the government to:
A. increase the minimum wage. B. do nothing. C. stimulate aggregate demand. D. cut taxes.