In a two-country world, the appreciation of the domestic currency shifts
A) the AD curve rightward and the SRAS curve leftward.
B) the AD curve leftward and the SRAS curve rightward.
C) both the AD curve and the SRAS curve rightward.
D) both the AD curve and the SRAS curve leftward.
E) the AD curve rightward and does not affect the SRAS curve.
B
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From 1970 to 2006, the largest percentage increase in average real income for households in the United States occurred in which quintile?
A) the bottom quintile B) the second quintile C) the middle quintile D) the top quintile
In the above figure, the short-run aggregate supply curve is SAS1. Suppose that the price level in the economy increases. As a result there is
A) an upward movement along SAS1. B) a downward movement along SAS1. C) a shift to SAS0. D) a shift to SAS2.
Natural monopolies are usually found in industries with
a. low fixed costs. b. large economies of scale. c. a normal profit. d. constant economies of scale.
An increase in the price of Heinz ketchup is likely to cause:
A. an increase in the demand for Hunt's ketchup, due to a change in preferences. B. an increase in the demand for Hunt's ketchup, due to a change in the price of a substitute good. C. a decrease in the demand for Hunt's ketchup, due to a change in preferences. D. an increase in the demand for Hunt's ketchup, due to a change in the price of a complementary good.