Japanese electronics exports were hurt in 2008 as a result of the recession. How would this decrease in exports have affected Japan's aggregate demand curve?
A) The aggregate demand curve would not have shifted, but there would have been a movement down the aggregate demand curve.
B) The aggregate demand curve would have shifted to the right.
C) The aggregate demand curve would not have shifted, but there would have been a movement up the aggregate demand curve.
D) The aggregate demand curve would have shifted to the left.
D
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Based on Table 4.1, according to the Stolper-Samuelson Theorem, the income distribution effects of free trade in the United States are likely to favor
A) capital. B) labor. C) either capital or labor, depending on U.S. productivity. D) neither capital nor labor. E) Not enough information to tell.
The invention of machinery that can double the amount of gold extracted from raw ore will likely lead mining companies to
a. raise the world price of gold to pay for the new machinery. b. lower the world price of gold because any amount can now be produced more cheaply. c. raise the world price of gold because miners' wages must double as their productivity doubles. d. lower the world price of gold only if new mining companies are not allowed to enter the industry.