Refer to Scenario 17-1. Following the passage of comparable worth legislation, Unity College responds by placing salaries for all assistant professors at $80,000. Which of the following is the result of the legislation?
A) The demand for English professors decreases; the market for business professors is not affected.
B) There will be a surplus in the market for English professors and the market for business professors will not be affected.
C) The supply of English professors increases; the market for business professors is not affected.
D) There will be a surplus in the market for English professors and a shortage in the market for business professors.
B
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Netflix introduced DVD rentals via US Mail whereby customers do not have to leave their home to rent movies. They also introduced the concept of no-late fees. Netflix has enjoyed strong profits over the last few years
However, what does economic theory tell us should happen to these profits in the long run and why?
Individuals must make choices because
a. resources are scarce and wants are limited b. resources and wants are unlimited c. assets and wealth are distributed unevenly d. resources are scarce and wants are unlimited e. inflation usually outpaces income growth
To satisfy the admission criteria to the European Union, a country must meet all of the following, EXCEPT:
A) maintain an inflation that is equal to the average of the three lowest rates. B) maintain long-term interest rates equal to that of the three countries with the lowest inflation rates. C) maintain a pegged exchange rate, without any revision for two years. D) cut down taxes to the lowest possible level.
Policy coordination is difficult because each country
A) prefers to be the one to increase demand. B) prefers to be the one to appreciate its currency. C) prefers that other countries increase their demand. D) prefers to be the one to increase taxes. E) prefers that other countries increase taxes.