The classical approach to macroeconomics assumes that
A) wages, but not prices, adjust quickly to balance quantities supplied and demanded in markets.
B) wages and prices adjust quickly to balance quantities supplied and demanded in markets.
C) prices, but not wages, adjust quickly to balance quantities supplied and demanded in markets.
D) neither wages nor prices adjust quickly to balance quantities supplied and demanded in markets.
B
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If the demand curve facing a monopoly was 1 unit at $7, 2 units at $6, 3 units at $5, 4 units at $4, and 5 units at $3, at the point along the curve where 3 units are being sold, the elasticity of demand: a. is greater than one
b. is equal to one. c. is less than one. d. cannot be determined from the above information.
Which of the following describes the correct relationship among the nominal interest rate, the real interest rate, and the inflation rate?
a. Real interest rate = nominal interest rate + inflation rate b. Real interest rate = nominal interest rate - inflation rate c. Nominal interest rate = real interest rate - inflation rate d. Inflation rate = real interest rate - nominal interest rate e. Inflation rate = nominal interest rate + real interest rate
How is per capita GDP affected by GDP growth and population growth?
What will be an ideal response?
Opportunity Cost:
A. is never provided in dollar values. B. would not include lost wages from working when deciding to take a vacation. C. only includes explicit, out of pocket expenses. D. is the value of your next best alternative.