The basic aggregate demand and aggregate supply curve model helps explain
A) price fluctuations in an individual market.
B) short-term fluctuations in real GDP and the price level.
C) long-term growth.
D) output fluctuations in an individual market.
B
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Which of the following is a firm that makes its stock available to be bought and sold by financial investors?
a. Public company b. Sole proprietorship c. Private company d. Business entity
Which of the following statements about oligopolies is not correct?
a. There are only a few firms in the industry. b. Each firm possesses some market power. c. Oligopolistic firms are always large. d. An important reason for the existence of oligopolies is the presence of economies of scale.
In The Economy Tomorrow analysis in the text stated that thousands of people were waiting for a kidney transplant. Which of the following statements is true?
A. Allowing the sale of kidneys at a price greater than zero would decrease the number of available kidneys. B. Allowing the sale of kidneys at a price greater than zero would likely increase the number of available kidneys. C. A price ceiling of zero is effectively a prohibition against donating organs. D. There is not an organ shortage.
If tariffs contribute to inefficiency in the international allocation of resources and lower output and income, why have nations enacted tariffs?
What will be an ideal response?