How will an increase in income affect the budget line for two goods, all other things equal?
Please provide the best answer for the statement.
A budget line is defined by the intercepts for the two goods in a two-quadrant graph. These intercept values are calculated by dividing money income by the price of the product. If money income increases and prices stay the same, then the intercept values will increase and the budget line will shift outward from the origin.
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Required reserves for a commercial bank
A) are the minimum reserves that a bank must hold to back its deposits. B) are the reserves that a bank plans to hold in the bank's vault. C) are only the money used by the bank tellers. D) consist only of the bank's deposits at the Fed.
The health care system in ________ is referred to as a universal health insurance system, under which every resident is required to enroll in either a private or the government-provided health insurance program
A) Canada B) Japan C) the United Kingdom D) the United States
As McDonald's expanded globally, it was able to achieve:
A) economies of scope. B) economies of scale. C) diseconomies of scale. D) none of the above.
Using the above table, at a price of $70, there is
A) a surplus of 150 units. B) a shortage of 120 units. C) a surplus of 270 units. D) a shortage of 150 units.