Refer to the diagrams below. In which of them would we see a shortage at the initial price after the indicated curve has shifted?

In the diagrams below, the subscript "1" refers to the initial position of the curve, while the subscript "2" refers to the final position after the curve shifts.







A. A and D

B. B and D

C. B and C

D. A and C


A. A and D

Economics

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A net exports deficit or surplus equals

A) taxes minus savings plus public and private investment. B) the government sector balance plus the private sector balance. C) net lending by both the private and public sector plus savings minus investment. D) net worth plus the government sector balance minus the private sector balance.

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Aggregate demand is the sum of

a. C + I + G + (X ? IM). b. C + I + X. c. C + I + X ? IM. d. C + I + G.

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Suppose the United Auto Workers union obtains a substantial wage increase for auto workers. How will this affect the market for automobiles?

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What is a price floor and why must it be above the equilibrium price to be effective?

What will be an ideal response?

Economics