At full employment,
A) the inflation rate is zero.
B) the inflation rate must equal the natural unemployment rate.
C) the unemployment rate is zero.
D) real GDP exceeds potential GDP.
E) the unemployment rate is equal to the natural unemployment rate.
E
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Jacinda quit her job as a blackjack dealer where she made $42,000 per year to start her own florist business. Her business expenses are $14,000 per year on rent, $21,000 per year on supplies, and $9,000 per year on part time hel
A) $104,000 B) $86,000 C) $62,000 D) $44,000
Unions support minimum wage laws because an increase in the minimum wage
A) increases the supply of union labor. B) decreases the supply of union labor. C) increases the demand for union labor. D) decreases the demand for union labor.
Suppose your manufacturing firm is not a price-taking seller (i.e., has some control over your product price) and sells machinery to U.S. (domestic) buyers as well as foreign buyers
The domestic demand for your product is inelastic but the foreign demand is elastic, and the machinery is bulky so that the high transport costs prevent resale among the buyers. You could charge both groups of buyers the same price for the machinery, but you know that you could increase total sales revenue by charging the domestic buyers a ________ price and charging the foreign customers a ________ price. A) higher, higher B) higher, lower C) lower, higher D) lower, lower
What is the difference in the price elasticity of demand for alcohol in the short run and in the long run?
a. 1.6
b. 2.7
c. 3.6
d. 4.7