If a tax (paid by consumers) on a good is reduced, this would
A. move its demand curve to the left.
B. cause a movement along the demand curve to a (higher price, lower quantity) point.
C. move its demand curve to the right.
D. cause a movement along the demand curve to a (lower price, higher quantity) point.
Answer: C
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Even if some people are hurt by international trade, the HO model predicts that free international trade improves the standard of living for the country as a whole
Indicate whether the statement is true or false
Means tested government programs:
A. require recipients to undergo skills testing for benefits. B. define eligibility for benefits based on recipients' income. C. are as effective as unconditional cash transfers. D. are rarely used in the US.
If an economy is operating at a point inside the production possibilities curve,
What will be an ideal response?
Refer to the information provided in Figure 7.8 below to answer the question(s) that follow. 
Figure 7.8Refer to Figure 7.8. The firm is currently along isocost CE. If the price of capital is $12, then the price of labor is
A. $8. B. $12. C. $80. D. $120.