Fresh tuna can be canned or used to make sushi. Other things equal, if consumers start demanding more sushi?
a. The price of tuna will fall.
b. Less tuna will be canned and more will be used in tuna sushi.
c. The supply of fresh tuna will decrease.
d. The price of tuna sushi will fall.
e. None of the above.
b. Less tuna will be canned and more will be used in tuna sushi.
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Refer to the figure above. Social surplus can be increased by ________
A) increasing output above 13 million units B) reducing output below 13 million units C) increasing the price above $22 D) charging a price of $22
When there is political instability in another country, the United States can expect
A) an increase in the financial account balance due to an increase in the current account. B) an increase in the financial account balance due to the movement of assets to the U.S. C) a decrease in the balance of payments due to a decrease in official reserve transactions. D) a decrease in the balance of payments due to a decrease in the demand for goods and services.