Which of the following would cause a decrease in the equilibrium price and decrease in the equilibrium quantity of papayas?
A) a decrease in supply and a decrease in demand
B) an increase in supply and an increase in demand greater than the increase in supply
C) a decrease in supply and an increase in demand
D) a decrease in demand
D
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Exchange-rate targeting allows a central bank to ________, thus this will ________ the probability of policy developing a time-inconsistency problem
A) be governed by a policy rule; decrease B) follow discretionary policy; decrease C) be governed by a policy rule; increase D) follow discretionary policy; increase
Real wages in the United States in the long run:
A. show no discernible relationship to output per worker. B. have increased at about the same rate as increases in output per worker. C. have increased slower than increases in output per worker. D. have increased faster than increases in output per worker.