Economists concerned about economy-wide trends in the unemployment of labor, the rate of inflation, and the level of economic production are studying:

A) microeconomics.
B) macroeconomics.
C) specific units or parts of the economy.
D) the "trees" of economic behavior, rather than the "forest."

Ans: B) macroeconomics.

Economics

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Figure 7-4

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Following a rash of airplane bombs, the airlines have been forced to increase security at a cost of $30 million per year. The number of inspectors and machines does not vary with the number of passengers-the airlines must have sufficient staff available to handle the full-capacity load. Which graph in Figure 7-4 best illustrates the impact of the security expenditures?

a. 1
b. 2
c. 3
d. 4

Economics

Advertisers try to ________ the demand for their products, but at the same time try to make that demand ________.

Fill in the blank(s) with the appropriate word(s).

Economics