Workers expect inflation to rise from 3% to 5% next year. As a result, this should
A) shift the short-run aggregate supply curve to the left.
B) move the economy down along a stationary short-run aggregate supply curve.
C) shift the short-run aggregate supply curve to the right.
D) move the economy up along a stationary short-run aggregate supply curve.
A
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Both sugar and fructose can be used in the production of candy. If the price of sugar increases,
a. the demand for sugar increases b. sugar becomes relatively more expensive than fructose only if the price of fructose falls c. sugar becomes relatively more expensive than fructose, other things constant d. the price of fructose immediately increases e. the price of fructose immediately decreases
Suppose that the government sets a minimum price for soybeans at $5 a pound above the equilibrium price. This leads to a quantity traded:
A. at the equilibrium quantity. B. below the equilibrium quantity. C. above the equilibrium quantity. D. There is not sufficient information.