If price were $20, there would be _____ (shortage or surplus) of about ________.

If not all prices adjust instantly to changing economic circumstances, an unexpected fall in the price level leaves some firms with higher-than-desired prices, and these higher-than-desired prices depress sales and induce firms to ________ the quantity of goods and services they produce.

a) increase substantially b) increase slightly c) reduce d) make no changes to

Refer to the table above. If Bob earns $105,000 per annum, he has to pay a tax of approximately ________

A) $6,400 B) $12,600 C) $18,675 D) $19,600