Suppose the Asian financial crisis decreased U.S. exports. In the aggregate demand/aggregate supply model, this would be represented as
A) a shift to the right of aggregate supply, which would result in more production for the U.S. economy.
B) a shift to the left of aggregate supply, which would result in less production for the U.S. economy.
C) a shift to the right of aggregate demand, leading to more spending and production in the U.S. economy.
D) a shift to the left of aggregate demand, leading to less spending and production in the U.S. economy.
D
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In 1920 a constitutional amendment was passed that outlawed the production, sale, purchase, and consumption of alcoholic beverages. "Prohibition" encouraged bootlegging and black markets for whiskey, wine, and beer
The amendment was eventually repealed in 1933. In 1920, what alternative economic policy was available to the government as a means of reducing alcohol consumption nationwide?
What is the moral hazard problem associated with health care insurance?
What will be an ideal response?