When the demand for blue jeans increases, what happens next?
What will be an ideal response?
If the demand for blue jeans increases, then at all prices buyers are more willing and more able to buy blue jeans. The demand curve for blue jeans shifts rightward. With the curve shifts, at the initial price a shortage of jeans will emerge. The law of supply and demand will force the price higher. Hence an increase in demand for blue jeans leads to a rise in the price of a pair of blue jeans and an increase in the quantity of blue jeans.
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Congress passed the Clean Air Act in 1970. Since this act was passed, emissions of the six main air pollutants
A) have increased significantly due to the growth of the U.S. economy. B) cannot be measured since Congress failed to appropriate money to monitor the level of emissions. C) have fallen by more than one-half. D) have remained essentially constant, even though significant economic growth has occurred in the United States since 1970.
If an economy is closed and if it has no government, then
a. national saving = 0. b. national saving = private saving. c. public saving = investment. d. gross domestic product = consumption.