Suppose the equilibrium price of a gallon of gasoline drops from $3.00 to $2.85 and the equilibrium quantity increases from 365 millions of gallons per week to 372 millions of gallons per week. These changes can be the result of

Suppose that in Southlandia, frictional unemployment is 2%, structural unemployment is 3%, and cyclical unemployment is 4%. What is the natural rate of unemployment in Southlandia?

a) 2% b) 3% c) 5% d) 9%

Increases in the minimum wage are intended to raise the incomes of low-income workers. Many economists favor a different policy to achieve this goal, a policy that avoids the deadweight losses that result from the minimum wage

What is this policy? A) distribution of vouchers that can be used for rent or mortgage payments B) the earned income tax credit C) the Alternative Minimum Tax D) distribution of food stamps to low-income consumers