One piece of evidence that business fluctuations are caused by demand-side changes would be that
A. monetary and fiscal policy will move inversely.
B. interest rates and budget deficits will move inversely.
C. unemployment and inflation will move inversely.
D. unemployment and budget deficits will move inversely.
Answer: C
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Assume that the elasticities of supply and demand in an industry are both equal to 2 and that it is currently untaxed. A new tax imposed on the industry will: a. be borne more by suppliers than demanders
b. be borne more by demanders than suppliers. c. be borne equally by demanders and suppliers. d. not raise any added revenue for the government since demand is relatively elastic.
Compensating differentials are differences in wages related to the characteristics of a job
a. True b. False Indicate whether the statement is true or false
Using supply and demand curve analysis, the triangular area above the equilibrium price and under the demand curve is:
A. consumer surplus. B. producer surplus. C. marginal cost. D. deadweight loss.
The WTO explicitly stated that in making its sea turtle decision, it was NOT saying that sovereign nations could not adopt effective measures to protect endangered species. Clearly, it said, sovereign nations can and should develop effective measures, including trade measures, to protect endangered species
Indicate whether the statement is true or false