Suppose we observe the following two simultaneous events in the market for beef. First, there is a decrease in the demand for beef due to changes in consumer tastes. And second, there is a reduction in beef cattle supply due to climate change. We know with certainty that these two simultaneous events will cause which of the following?
A. a decrease in the equilibrium quantity and an indeterminate change in the equilibrium price
B. a decrease in the equilibrium quantity and an increase in the equilibrium price
C. an increase in the equilibrium quantity and in the equilibrium price
D. no change in the equilibrium quantity and a reduction in the equilibrium price
Answer: A
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Which of the following would result in a trade surplus for the United States?
A) Exports of goods = $550 billion Imports of goods = $575 billion Exports of services = $275 billion Imports of services = $300 billion B) Exports of goods = $725 billion Imports of goods = $790 billion Exports of services = $350 billion Imports of services = $260 billion C) Exports of goods = $625 billion Imports of goods = $625 billion Exports of services = $300 billion Imports of services = $375 billion D) None of the above will result in a trade surplus.
The health savings account (HSA):
a. is also called a health reimbursement arrangement (HRA). b. is funded with after-tax dollars. c. allows its owner to ignore high medical care prices. d. is often used in conjunction with a high-deductible health plan (HDHP). e. can be used to cover non-medical spending without penalty.
A person has a comparative advantage in an activity whenever she
A) has an absolute advantage in the activity. B) can perform the activity at a lower opportunity cost than can another person. C) can do the activity in less time than anyone else. D) can do everything better than anyone else.
The skills and knowledge gained by a worker through education and experience are ____________ .
a. production possibilities. b. physical capital. c. human capital. d. entrepreneurial.