Under the liquidity premium theory, a flat yield curve indicates that investors expect future short-term rates to
A) fall.
B) rise.
C) remain constant.
D) either fall or remain constant.
A
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If the minimum wage rate is set above the equilibrium wage rate, then
A) unemployment definitely increases. B) unemployment definitely decreases. C) unemployment either decreases or does not change. D) unemployment definitely does not change. E) None of the above answers is correct because the minimum wage decreases search but its effect on unemployment is ambiguous.
There are 72,922 seats in Lambeau Field where the Green Bay Packers play football. The Packers have sold out their season tickets since 1960. There are about 80,000 people on the waiting list to buy season tickets in 2015
If the Packers raised ticket prices, the A) demand for Packers tickets decreases. B) demand curve for Packers tickets shifts leftward. C) demand curve for Packers tickets shifts rightward. D) the quantity demanded of Packers tickets decreases.
What condition must be satisfied for the optimal level of a public good to be provided? Explain the problem of the optimal provision of public goods
What will be an ideal response?
One fundamental idea in macroeconomics about inflation is:
A. if all wages rise, then inflation doesn't really affect anyone's purchasing power. B. when all prices rise, inflation occurs and everyone is worse off. C. keeping prices constant is the only way to ensure increasing purchasing power over time. D. if all prices decline, the purchasing power of everyone declines.