Around Easter time, the price of eggs rises. Some consumers complain about this and claim stores are 'price gouging.' Are there any positive functions played by the higher price of eggs around Easter? What would happen if the price of eggs were not permitted to rise by law?
The price of eggs rises around Easter due to simple supply and demand. The positive side of this price increase is that it is what produces the increased quantity of eggs supplied to satisfy consumers around this time of year. If price were not permitted to rise, there would be a shortage of eggs around Easter..
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The argument that the minimum wage law has significantly increased teenage unemployment is not supported by recent statistical analysis
a. True b. False Indicate whether the statement is true or false
Which of the following is correct?
a. Well designed tax cuts can increase investment which fluctuates more than consumption over the business cycle. b. Well designed tax cuts can increase investment but it fluctuates less than consumption over the business cycle. c. Tax cuts have little effect on investment which fluctuate more than consumption over the business cycle. d. Tax cuts have little effect on investment but it fluctuates less than consumption over the business cycle