If investment demand increases, the equilibrium real interest rate ________ and the equilibrium quantity of investment ________
A) rises; decreases
B) falls; decreases
C) falls; increases
D) rises; increases
E) does not change; does not change
D
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Suppose the monopolist only sold the goods separately. What price will the monopolist charge for Good 2 to maximize revenues for good 2?
a. $2,300 b. $2,800 c. $1,200 d. $1,700
If a private market determines the quantity of smallpox vaccinations, which of the following is true?
a. The equilibrium quantity is too low for efficiency. b. The equilibrium price and quantity are too high for efficiency. c. The equilibrium price is efficient. d. The equilibrium quantity is too high for efficiency. e. The equilibrium price and quantity are efficient.
"Because of unseasonable cold weather, much of the peach crop has been destroyed." This statement indicates that the:
a. price of peaches will fall. b. quantity of peaches that will be available at any given price has decreased. c. demand for peaches will shift to the left. d. quantity of peaches that will be available at any given price have increased.
Which of the following statements represents a correct sequence of events?
A) Productivity rises in the agriculture sector, the supply curve of foodstuffs shifts to the left, price rises, and total revenue rises assuming demand is inelastic. B) Productivity rises in the agriculture sector, the supply curve of foodstuffs shifts to the right, price rises, and total revenue rises assuming demand is inelastic. C) Productivity rises in the agriculture sector, the supply curve of foodstuffs shifts to the right, price falls, and total revenue falls assuming demand is elastic. D) Productivity rises in the agriculture sector, the supply curve of foodstuffs shifts to the left, price falls, and total revenue rises assuming demand is elastic. E) none of the above