Changes in the price of other goods lead to
A. a change in quantity demanded.
B. a change in demand.
C. a movement along the demand curve.
D. no change in the demand curve.
Answer: B
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Which of the following affects the magnitude of the multiplier?
i. marginal propensity to consume ii. marginal propensity to invest iii. marginal tax rate A) i only B) ii only C) iii only D) i and iii E) i, ii, and iii
Refer to the graph below. Assume the consumer has an income of $100, the price of X is $2 and the price of Y is $1. According to the graph, the substitution effect of a decrease in the price of X from $2 to $1 is equal to: 
A. 5 B. 20 C. 30 D. 25
A rightward shift in potential real GDP is not likely to result from which of the following?
A. a discovery of new oil reserves B. workers' acquisition of new skills C. retirement of a large and aging segment of the workforce D. an improvement in technology
A determinant of the price elasticity of supply that is also a determinant of the price elasticity of demand is:
A. adjustment time. B. availability of inputs. C. whether the good is a luxury or a necessity. D. flexibility of the production process.