In the market for CDs, the producer surplus will decrease if ________
A) the supply of CDs increases
B) the price of a CD decreases
C) the marginal cost of a CD decreases
D) the price of a CD increases
B
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Which of the following is true about workers who experience structural unemployment?
a. They quickly accept a much lower salary in a different industry. b. They become unemployed due to the business cycle fluctuations. c. They sometimes enter the pool of discouraged workers. d. They tend to quit their job search very easily. e. They usually have the necessary skills to maintain their level of income in another industry.
A country that must reduce current consumption to increase future consumption possibilities
A. must be producing outside the production possibilities curve. B. must be allocating resources inefficiently. C. must be producing along the production possibilities curve. D. must not have private ownership of property.
Refer to Figure 9.2. A movement from point a to point d could be caused by a simultaneous ________ and ________
A) decrease in taxes; massive crop failure B) increase in government spending; decrease in the price of oil C) increase in taxes; increase in the price of oil D) decrease in the money supply; decrease in government spending
According to the quantity theory of money, which one of the following economic variables would change in response to an increase in the money supply?
a. prices b. real income c. velocity d. employment