Starting from an equilibrium position,
a. the imposition of a price floor below the equilibrium price will increase the quantity demanded.
b. the imposition of a price floor below the equilibrium price will decrease the quantity exchanged.
c. the imposition of a price floor above the equilibrium price will decrease the quantity demanded.
d. the imposition of a price floor above the equilibrium price will increase the quantity exchanged.
c
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The "miracle" of the market, as addressed in your text, refers to the countless goods and services of great complexity made abundantly available
A) under conditions of massive ignorance. B) with a minimum number of errors and mistakes. C) with few losses and bankruptcies. D) with no systematic or scientific way of explaining how it happens.
When aggregate expenditure is more than GDP, which of the following is true?
A) Firms spent less on capital goods than they planned. B) Households bought fewer new homes than they planned. C) There was an unplanned decrease in inventories. D) All of the above must be true when aggregate expenditure is more than GDP.