If a tax is imposed per unit of a good sold, ________
A) the supply curve for the good shifts to the right
B) the supply curve for the good shifts to the left
C) the demand curve for the good shifts to the right
D) the demand curve for the good shifts to the left
B
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The supply of real GDP is a function of
A) the total expenditures of consumers, investors and government. B) the sum of wages, salaries, corporate profits, rents and interest. C) only the state of technology. D) the quantities of labor, capital and the state of technology.
Consider an adverse supply shock in the RBC model. The central bank knows that the pre-shock level of output
A) can be maintained only by reducing the money supply. B) can be maintained only by holding constant the money supply, C) can be maintained only by increasing the money supply. D) cannot be maintained by any monetary policy.
Tariff protection
a. encourages the optimum use of scarce resources. b. has no impact on use of scarce resources. c. prevents the optimum use of scarce resources. d. eliminates the scarcity of resources.
A public good in which exclusion is possible is called
A) an exclusive good. B) a common good. C) an impure good. D) a club good.