Which of the following would most likely cause a rightward shift in an economy's aggregate supply curve?
A) An increase in interest rates
B) A tax increase of 50 cents per gallon for gasoline
C) An across-the-board reduction of wages in the manufacturing sector
D) The passage of legislation mandating a reduction in automobile pollution
E) The shutdown of plants and movement of production of goods abroad
Answer: C) An across-the-board reduction of wages in the manufacturing sector
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In the figure above, a price of $35 per dozen roses results in
A) a surplus. B) upward pressure on the price of roses. C) equilibrium. D) a shortage. E) an eventual rightward shift of the demand curve and/or leftward shift of the supply curve.
The IMF mostly receives its funds from:
a. the subscription fees paid by the member nations. b. selling of bonds. c. the loans given by the World Bank. d. the central banks of the major industrialized nations. e. the gold reserves available with the Fed.