How did the collapse of the housing bubble cause a contraction in output?
A. Because banks were unwilling to lend, many businesses were suddenly unable to access credit for their day-to-day needs.
B. When homeowners lost value in their homes, they stopped saving, which reduced banks' ability to lend.
C. Because consumers lost confidence in the banking industry, they stopped depositing money, so banks could no longer lend.
D. When banks wanted to make loans, but couldn’t find any credit-worthy customers to loan to.
A. Because banks were unwilling to lend, many businesses were suddenly unable to access credit for their day-to-day needs.
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The market demand curve for mangos is
A) upward sloping because rich people can afford more mangos than poor people can buy. B) the same as the demand curve of one buyer in a market with many buyers. C) the horizontal sum of the individual demand curves of all the buyers. D) the vertical sum of the individual demand curves of all the buyers. E) the horizontal average of the individual demand curves of all the buyers.
If a firm hires labor for $20,000, pays rent of $12,000, buys raw materials for $6,000 from another firm, earns profits of $3,000, and sells its output for $41,000, the value added by the firm is _____
a. $0 b. $15,000 c. $35,000 d. $38,000 e. $41,000
Which of the following groups favored the suspension of preferential trade treatment for Bangladesh in 2013?
a. the U.S. Congress b. the Bangladeshi garment industry c. U.S labor leaders d. U.S. consumers
The table above has the domestic supply and domestic demand schedules for a product
What is the equilibrium price with no trade? Over what range of prices will the country export the good? Over what range will it import the good? Suppose the world price is $20. What is the quantity demanded, the quantity supplied, and the amount of the good exported or imported?