Which of the following is a problem with the price system that can lead to fluctuations in output?
A) The price system works silently in the background.
B) Prices may be flexible.
C) Prices can be slow to adjust.
D) all of the above
C
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Auctions are valuable for selling items such as
a. Pens b. Artwork c. Standard automobiles d. All of the above
Minimum wage legislation
a. sets a price ceiling above the market-clearing price b. has no impact if the minimum wage is above the market-clearing price c. affects every worker in every trade in precisely the same way d. creates some degree of unemployment when the minimum wage is above the equilibrium wage e. is opposed by organized labor
The classicals, applying Say's law, believed that all our income would be _______, all our production would be _______ and all our savings would be ________.
Fill in the blank(s) with the appropriate word(s).
A quantity restriction leads to a price ________ the equilibrium price.
A. at B. above C. below D. Either at or above is correct.