The law of supply states that, other things equal, when the price of a good rises, the quantity supplied of the good falls
a. True
b. False
Indicate whether the statement is true or false
False
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The Gramm-Leach-Bliley Act of 1999
A) allowed the creating of financial holding companies. B) set conditions under which an FHC can set up a merchant bank. C) brings the U.S. closer to the universal banking model. D) does all of the above.
Firms that emit toxins into the air:
a. underproduce because the private cost of production exceeds the social cost. b. overproduce because the social cost of production exceeds the private cost. c. produce the same as nonpolluting firms. d. produce at the socially optimal amount.
Use the above figure. Which graph depicts a normal good?
A. A B. B C. C D. D
If the government legalizes the purchase and sale of marijuana, the equilibrium quantity would _________ and the price would ________ if the supply of marijuana increased by _______ than the demand for marijuana increased as a result of the legalization
A) rise; rise; more B) fall; rise; more C) rise; fall; more D) rise; rise; less E) none of the above