A consumption function shows a
What will be an ideal response?
positive (direct) relationship between consumption expenditure and disposable income.
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Use the following graph for a pure monopoly operating in the short-run to answer the next question.
To maximize profits, this firm should charge a price of ________.
A. 0B B. 0C C. 0A D. not labeled on the graph
The GI Bill provided educational opportunities to many young men returning from military service. Using a production possibilities curve, demonstrate how the GI Bill affected economic growth and explain your answer
When stock prices reflect fundamental values:
A. all investors will have positive returns. B. all companies will have an easier task of obtaining financing for investment projects. C. the allocation of resources will be more efficient. D. the overall level of the stock market should move higher.
Which of the following must occur as a result of ceilings on apartment rents that are set below market clearing rental rates?
A) Property owners respond to the ceilings by increasing maintenance and repairs. B) Property owners respond to the ceilings by constructing new apartment buildings. C) There is a decrease in the quantity of apartments that prospective tenants wish to rent. D) There is a decrease in the quantity of apartments that property owners offer for rent.