If a price floor is imposed above the equilibrium price in a market, what is the effect?
a. There is no visible effect on the market outcome.
b. A shortage results.
c. A surplus results.
d. The quantity supplied will decrease
Ans: c. A surplus results.
Economics
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All else equal, people with risky jobs tend to make more money than people with safe jobs
Indicate whether the statement is true or false
Economics
If the economy is in long run equilibrium and aggregate demand increases, then in the short run
A) nothing happens because the economy is in long run equilibrium. B) the price level rises and real GDP does not change. C) real GDP increases and the price level does not change. D) the price level rises and real GDP increases.
Economics