A positive externality will cause a market to produce
a. more than is socially desirable.
b. less than is socially desirable.
c. the socially optimal equilibrium amount.
d. more than the same market would produce in the presence of a negative externality.
b
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A movement along the AE curve arises from a change in ________, and a movement along the AD curve arises from a change in ________
A) the price level; the price level B) real GDP; investment C) real GDP; the price level D) the price level; investment E) investment; the price level
Economists define an aggregate as
A. a concrete object. B. a specific principle. C. a representative good or service. D. a useful abstraction. E. something immeasurable.
You put money in the bank. The increase in the dollar value of your savings
a. and the change in the number of goods you can buy with your savings are both nominal variables. b. and the change in the number of goods you can buy with your savings are both real variables. c. is a nominal variable, but the change in the number of goods you can buy with your savings is a real variable. d. is a real variable, but the change in the number of goods you buy with your savings is a nominal variable.
A large denomination time deposit is
A. money in a passbook savings account. B. an S & L share. C. any money left on deposit in a bank for over one year. D. any deposit of at least $100,000 left on deposit at a bank for a specified period of time.