The short-run aggregate supply curve is positively sloped because
A) real interest rates rather than nominal rates are used.
B) no price adjustments take place in the short-run.
C) complete price adjustments take place in the short-run.
D) some price adjustments take place in the short-run.
D
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Which of the following is an example of a positive externality?
A) banning the sale of junk food on Sundays B) living next door to a dairy farm C) purchasing a pinball machine for your game room D) planting trees along a sidewalk which add beauty and create shade
Firm X owns both a grocery store and the parking lot outside the grocery store. In order to increase the traffic at the store the owners of the store should
a. Increase the prices on the goods sold in the store b. Increase the parking rates c. All of the above d. None of the above