What is the maximum amount of good Y that can be purchased if X and Y are the only two goods available for purchase and Px = $10, Py = $20, X = 20, and M = 400?
A. 5
B. 10
C. 20
D. 0
Answer: B
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The supply-side motivated tax cuts of 1981 during the Reagan administration were aimed at
A) balancing the federal budget. B) decreasing aggregate supply. C) increasing aggregate demand. D) increasing aggregate supply.
A leading variable ________
A) reaches a peak or trough before the turning point of the business cycle B) reaches a peak or trough after the turning point of the business cycle C) reaches a peak or trough at the same time as the turning point of the business cycle D) all of the above E) none of the above
Changing the discount rate and the fed funds rate simultaneously is called ___________.
Fill in the blank(s) with the appropriate word(s).
In the graph above, a government imposed price of $35 represents a price _____ and there is a _____.
A. floor; surplus
B. floor; shortage
C. ceiling; surplus
D. ceiling; shortage