If the automobile workers' union successfully negotiates a wage increase for its members, how does the wage hike affect the supply of automobiles?
A) The supply increases.
B) The supply decreases.
C) The quantity supplied increases.
D) The quantity supplied decreases.
E) Both answers B and D are correct.
B
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A tax is imposed on employers and workers that are used to fund Social Security and Medicare. This tax is sometimes referred to as
A) the federal income tax. B) the Income Security Tax. C) the payroll tax. D) the ACIF.
Apple has continued to be innovative to ensure that the demand for its products stays or becomes
a. More inelastic b. More elastic c. Unitary elastic d. None of the above
If expected future prices rise, this causes the nation's current:
a. Aggregate demand to fall, the average price level to fall, and real GDP to rise. b. Aggregate supply to rise, the average price level to rise, and real GDP to rise. c. Aggregate demand to rise, the average price level to rise, and real GDP to rise. d. Aggregate supply to fall, the average price level to rise, and real GDP to fall. e. Aggregate demand to fall, the average price level to fall, and real GDP to fall.
Answer the following statements true (T) or false (F)
1. When you use money to purchase groceries, money is functioning as a store of value. 2. Money performs its function as a store of value very well, because it protects one against the erosion of purchasing power from inflation. 3. With token money, the face value is greater than the intrinsic value. 4. The M1 money supply is composed of currency, checkable deposits, and savings deposits. 5. Credit card balances are part of money supply M2.