Suppose the government imposes a small carbon tax on automakers. But the price of gasoline has doubled due to a Middle East crisis which has reduced oil production. In the market for autos, these changes mean that supply and demand have both changed with the effect on the demand larger than the effect on the supply. The result is that the price of autos will ________ and the number of autos sold will ________
Fill in the blank(s) with correct word.
Ans: Fall;decrease
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Increased international trade reduces the demand for a country's products that are produced more efficiently abroad (import-competing products). This increase in trade ________ the demand for workers in import-competing industries, and ________ their wages.
A. decreases; increases B. increases; increases C. decreases; decreases D. increases; decreases
Suppose that Philip is the best contractor in town, and he makes $400,000 a year. Suppose that Julia Roberts is the best and highest paid actress in Hollywood, and she makes $13 million per movie. Both are the best in their respective fields of work. One reason for the significant difference in incomes has to do with the nature of the service each offers. Philip's contracting services
a. can be provided to an unlimited number of customers in a year, but Julia's work is sold to only a few individuals in a year. b. can only be provided to a limited number of customers in a year, but Julia's work is sold to millions of individuals in a year — i.e., to anyone who has the willingness and ability to pay for admission to her movies. c. can be provided to a unlimited number of customers in a year, and Julia's work is sold to millions of individuals in a year — i.e., to anyone who has the willingness and ability to pay for admission to her movies. d. can only be provided to a limited number of customers in a year, and Julia's work is sold to only a few individuals in a year.
Hardware, software, and wetware refer to
A. financial resources, buildings, and overhead. B. buildings, computers, and financial resources. C. fixed costs, variable costs, and liabilities. D. physical assets, "intangible" assets such as its advertising strategies, and human resources.
If the pollution havens hypothesis is true, we should expect world pollution to decline as a result of international trade and globalization
Indicate whether the statement is true or false