In a perfectly competitive market, a permanent increase in demand initially brings a higher price, economic
A) loss, and entry into the market.
B) loss, and exit from the market.
C) profit, and entry into the market.
D) profit, and exit from the market.
C
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All of the following shift the aggregate demand curve to the right EXCEPT
A) an increase in expected future profit. B) an increase in foreign income. C) an increase in government expenditure. D) an increase in taxes. E) an expansion of the global economy.
What happened in the banking industry with the introduction of ATMs which had a higher MP/P than for the substitute resource of human tellers?
A. Human tellers replaced many ATMs because people did not want to use ATMs B. ATMs replaced many human tellers because it reduced banks' costs C. More of both ATMs and human tellers were used because banks were more productive D. Less of both ATMs and human tellers were used because banks did not know how to use the new technology