A rent ceiling results in a shortage of apartments. As a result, there is
A) only a loss of consumer surplus for tenants.
B) only a loss of producer surplus for landlords.
C) a loss of both consumer and producer surplus.
D) a gain of both consumer and producer surplus.
C
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Typically, as an economy begins to emerge from a recessionary phase of the business cycle,
A) unemployment falls immediately. B) inflation begins to fall. C) unemployment continues to rise. D) investment begins to fall.
If the demand curve for money were horizontal at some interest rate, an increase in the money supply
A) would lower the interest rate. B) would increase the rate of inflation. C) would be highly effective in reducing inflation. D) would not change the interest rate
In international trade, if a country has a "comparative advantage" in a product this means:
it is relatively more efficient than other countries in making the product it is relatively less efficient than other countries in making the product it is equally efficient as other countries in making the product it should import the product rather than export it
The intensity of competition in a market can be ________ to inspire a business to undertake innovative activities.
A. too low B. too great or too low C. too great D. not low enough or not great enough