A. the goods market
B. the money markets
C. the labor markets
D. all of these
Related Mcqs:
- The equilibrium inflation rate is determined by the intersection of _____ and _____?
A. demand, supply
B. IS, LM
C. AD, AS
D. Labor demand, labor supply - If a result of households wish to save more there is a change in equilibrium income and no change in equilibrium saving this is an example of ?
A. market imperfection
B. the law of diminishing returns
C. the paradox of thrift
D. market failure - Suppose the economy is initially in long run equilibrium Then suppose there is a drought that destroys much of the wheat crop if policymakers allow the economy to adjust to long-run equilibrium on its own, according to the model to aggregate demand and aggregate supply what happens to prices and output in the long run ?
A. Output rises; prices are unchanged from the initial value
B. Output and the price level are unchanged from their initial values
C. Output falls; prices are unchanged from the initial value
D. Prices fall; output is unchanged from its initial value - The European Union has achieved all of the following except ?
A. adopted a common fiscal policy for member nations
B. established a common system of agricultural price supports
C. disbanded all tariffs between its member countries
D. levied common tariffs on products imported from nonmembers - Goals are achieved through ____ such a monetary fiscal, exchange rate tariff tax subsidy, business incentive foreign investment and foreign aid?
A. indicative plan
B. central bank policies
C. central planning
D. instrument variables - If a firm is not operating at the output necessary to achieve all scale economies, it has not achieved its ?
A. Efficient scale
B. Average efficient scale
C. Maximum efficient scale
D. Minimum efficient scale - An advocate of the classical model of the economy would claim that unemployment is created when the ____ is above its equilibrium level in the ______?
A. price level, aggregate economy
B. tax rate, government budget
C. wage rate, labor market
D. interest rate, market for loanable funds - The equilibrium rate of unemployment at any real wage, is the difference between ______ and ______?
A. those willing to work at the going wage labour demand
B. labour demand those willing to work at the going wage
C. labor demand, labor supply
D. those willing to work at the going wage labor supply - The abolition of income tax would probably ______ the number of workers in employment and _______ the equilibrium rate of unemployment?
A. increase reduce
B. increase, increase
C. reduce, increase
D. reduce, reduce - The ratio of change in the equilibrium level of output to a change in some autonomous variable is the ?
A. automatic stabiliser
B. multiplier
C. elasticity coefficient
D. marginal propensity of the autonomous variable
