In the industrial period of U.S. history, the manufacturing goods consumed by U.S. households were subject to
(a) high taxes.
(b) Engel's Law.
(c) income effects.
(d) none of the above.
(c)
You might also like to view...
Refer to Cost of Production. The short-run average cost of producing 50 units of output per week is
The following questions refer to the diagram below. The wage rate is assumed to be $12 per hour, the rental rate is assumed to be $6 per hour, and capital is assumed to be fixed in the short run at 10 hours.
a. $3 per unit.
b. $3.60 per unit.
c. $5 per unit.
d. $2.77 per unit.
Explain why firms in a cartel might lobby for government regulation.
What will be an ideal response?
Other things equal, if planned investment spending is less than actual investment spending, then aggregate expenditure will be ________ real GDP and employment will ________
A) greater than; increase B) greater than; decrease C) less than; increase D) less than; decrease
Consider the following:
(i) Suppose the government imposes new regulations that force tire manufacturers to incur some one-time expenses for factory safety improvements. Will the new regulations raise the price of tires? Why or why not? (ii) Suppose the government imposes new regulations that force tire manufacturers to adopt cleaner production methods that raise the production cost by $10 per tire. Will the new regulations raise the price of tires? Why or why not?