In what way is the result of a subsidy given to either demanders or suppliers similar to the result of a price ceiling?
a. The amount that consumers pay for the good will be less than they previously paid
b. The amount of the good that will be traded in the market will be less than previously traded
c. both price ceilings and subsidies create excess demand
d. The amount that consumers pay for the good will be greater than they previously paid
e. both price floors and excise taxes create excess supply
A
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Over the past 70 years in the United States, employment in service-producing industries had increased significantly and employment in goods-producing industries has declined significantly. Economists would refer to this process as
A) the classical dichotomy. B) production parity. C) demographic imbalance. D) sectoral shifts.
When the dollar value of a country's imports of final products is less than the dollar value of its exports, the country has a
A. balance of trade deficit. B. budget surplus. C. budget deficit. D. balance of trade surplus.