A change in the price level
A) shifts the AE curve and creates a movement along the AD curve.
B) creates a movement along both the AE curve and the AD curve.
C) shifts the AE curve and the AD curve in opposite directions.
D) creates a movement along the AE curve and shifts the AD curve.
E) shifts the AE curve and the AD curve in the same direction.
A
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Assume that Figure 4-16 shows the supply of soda. An increase in the price of syrup used in the production of soda will shift supply from
A. S1to S2. B. S2to S1. C. S2to S3. D. S1to S3.
In the figure above, U.S. producers' ________ from the tariff is ________
A) loss; $32 million B) loss; $64 million C) gain; $80 million D) gain; $128 million
As a firm increases its output in the short run,
a. it also varies its technology b. it increases all of its inputs c. it increases its plant size d. it increases only one of its inputs e. at least one of its inputs is fixed
We say economists are doing positive economics when they
A. try to improve the welfare of all citizens. B. look for regularities and principles in economic life that can help show how the economy works. C. claim that there is no value free social science so articulating one's values is important. D. focus on policies and rhetoric that encourage people to be optimistic about the future.