Farm groups spend considerable amounts of money to maintain and enlarge political support for farm subsidies. This illustrates:

A. coalitions.
B. rent-seeking activity.
C. the special-interest effect.
D. the voting paradox.

Answer: B

Economics

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Graphically an increase in the short-run aggregate supply line represents a(n) ________, and a shift leftward of the long-run aggregate supply line represents a(n) ________.

A. adverse inflation shock; shock to potential output B. favorable inflation shock; shock to potential output C. shock to potential output; favorable inflation shock D. shock to potential output; adverse inflation shock

Economics

Related to the Economics in Practice on p. 683: According to the International Monetary Fund, the top debtor nation in 2013 was

A. Japan. B. China. C. the United States. D. Saudi Arabia.

Economics