Consider the market for university economics professors. Suppose the opportunity cost of going to graduate school to get a Ph.D. in economics increases for many individuals. Suppose it generally takes about five years to get a Ph.D. in economics. Holding all else constant, in five years the equilibrium quantity of university economics professors will
a. increase.
b. decrease.
c. not change.
d. It is not possible to determine what will happen to the equilibrium quantity.
b
Economics
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To obtain a given real rate of return, lenders must charge a ________ nominal interest rate in the face of decreasing inflation.
A. regular B. constant C. lower D. higher
Economics
If households save $30 billion more at each level of income and the marginal propensity to consume (MPC) is 0.9, the aggregate expenditure line will
What will be an ideal response?
Economics