An increase in the price level ________ the aggregate quantity supplied and ________ the aggregate quantity demanded
A) increases; decreases
B) does not change; decreases
C) decreases; increases
D) decreases; decreases
E) increases; increases
A
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U.S. antitrust laws view monopolies as undesirable because
A) monopolies restrain trade and promote inefficiencies. B) monopolies create inferior products. C) monopolies produce only capital goods. D) monopolies produce only cheap, low quality goods.
Suppose that a worker in Country A can make either 10 iPods or 5 tablets each year. Country A has 100 workers. Suppose a worker in Country B can make either 2 iPods or 10 tablets each year. Country B has 200 workers. A bundle of goods that Country A could potentially make would be:
A. (500 iPods, 500 tablets). B. (500 iPods, 400 tablets). C. (500 iPods, 300 tablets). D. (500 iPods, 200 tablets).
The payroll tax is a
a. progressive tax. b. neutral tax. c. regressive tax. d. proportional tax.
In the open-economy macroeconomic model, the supply of dollars in the market for foreign-currency exchange comes from
a. net exports b. net capital outflow c. net exports + net capital outflow d. net exports - net capital outflow