Charging "what the traffic will bear" was a tactic commonly pursued by American railroads before they were subjected to regulation

A spending shock typically involves a dramatic reduction in spending in virtually all sectors of the economy simultaneously

a. True b. False

Suppose a fishing boat currently brings 10,000 fish to market each day and earns a profit of $40,000 when the price of fish is $12 . Suppose that there are 100 workers on the boat, and each works 10 hours each day. If their health insurance premiums, paid by the boat owner, increase by $80 per worker, what will the new profit be?

a. $80,000 b. a loss of $40,000 c. $48,000 d. $32,000 e. a loss of $760,000