According to this Application, in Peru, producing palm oil is very profitable but is a time consuming process. Producing coca paste, an ingredient in cocaine, is not as costly or as time consuming as the production of palm oil
To switch Peruvian farmers from producing an ingredient used for cocaine to producing the profitable and safe palm oil would require
A) improvements in finance and the ability to borrow funds.
B) informal ownership of property.
C) governmental approval.
D) cocaine being declared illegal in Peru.
A
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According to your textbook, which best explains the fact that income inequality has increased in the U.S. since 1980?
A) A growing distrust of the efficacy of federal government spending programs combined with a rising concern over federal budget deficits B) A widening gap between the wages of skilled and extensively-educated workers and the wages of those with fewer skills and less education C) The impact of cheaply-produced and low-priced foreign imports D) Government deregulation of business
If money wages increase, the most likely result is a(n)
a. increase in aggregate supply. b. decrease in aggregate supply. c. steeper aggregate supply curve. d. flatter aggregate supply curve.