A tax cut that increases the budget deficit results in ________ in the ________ loanable funds
A) an increase; supply of
B) a decrease; supply of
C) an increase; demand for
D) a decrease; demand for
E) no change; either the demand for or the supply of
C
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The decrease in consumer spending that occurred after the collapse of the housing bubble caused aggregate:
A. demand to increase. B. demand to decrease. C. supply to increase. D. supply to decrease.
A lump-sum tax (a tax that is treated as a fixed cost) is placed on a monopolist. How will that affect its output and pricing decisions?
The World Trade Organization is a successor organization to the
A. International Court of Justice. B. GATT. C. World Bank. D. United Nations.
Under the conditions of monopolistic competition:
A. firm profits are higher in the long run than in the short run. B. average costs of production are the same in the short run as they are in the long run. C. economic profit is zero in the long run. D. price equals marginal cost.