Refer to the above figure. Suppose the economy is at E. A stronger dollar leads to a lower real GDP. Which of the aggregate supply curves must be the relevant curve after the change in the value of the dollar?
A. 1
B. 2
C. 4
D. 5
Answer: B
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A change in the price of one good results in a rotation of the budget line around the point at which the consumer is currently consuming, so that it is steeper or flatter.
Answer the following statement true (T) or false (F)
When a country imposes tariffs, intending to protect domestic firms from foreign competition, it is pursuing _______–oriented policies
Fill in the blank(s) with correct word
Stock in Frozen Dreams, an ice cream manufacturer, has a price to earnings ratio of 24 . Is this comparatively high or low? What are two explanations for the size of this company's price to earnings ratio?
Ceteris paribus, if North Korea increases the size of its military, then:
A.) Its production possibilities curve will shift outward. B.) Its production possibilities curve will shift inward. C.) Its production of consumer goods will increase. D.) Its production of consumer goods will decrease.