Prepare a list of events that would shift the aggregate supply curve leftward.
What will be an ideal response?
Students should list examples that fit the determinants indicated in Figure 30.6. Some possibilities are a rise in the prices of domestic resources, an increase in wages beyond any rise in productivity, an increase in the prices of imported resources, declining rate of productivity without corresponding wage concessions, rising business taxes, reduction in research and development efforts, and more government regulation which adds to production costs.
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If the world price of a good is equal to its no-trade equilibrium price, the country will import more of the good from other nations
a. True b. False Indicate whether the statement is true or false
Which of the following was not addressed by the Clayton Act?
a. exclusive contracts b. price discrimination c. corporate board members serving on competing corporations d. mergers e. price fixing