Refer to Table 4-4. Suppose that the quantity of labor supplied decreases by 40,000 at each wage level. What are the new free market equilibrium hourly wage and the new equilibrium quantity of labor?

Traffic congestion is an example of

A) a shortage of roadway space. B) a surplus of automobiles. C) a surplus of drivers. D) a surplus of people.

After an economy begins to recover, suppose that the Fed quickly raises interest rates back to the level seen before the recession in order to prevent inflation from occurring. Which type of Fed policymaker would be more likely to have taken this action?

A) Hawks B) Doves C) Both doves and hawks. D) Neither doves nor hawks.