All of the following are aspects of macroeconomics EXCEPT
A) the U.S. unemployment rate.
B) the production decisions of a pharmaceutical firm.
C) the budget deficit of the United States.
D) foreign trade.
Ques. 2Other things being equal, suppose that the demand for wheat in constant quality units increases. The increase in demand will cause
A) a surplus of wheat.
B) a higher equilibrium price and higher equilibrium quantity of wheat.
C) fall in the market clearing price of corn, a substitute for wheat.
D) a higher equilibrium quantity, but a lower equilibrium price of wheat.
Ques. 3The price of a new textbook increases from 120 to 160, while the price of used copies of the textbook increased from 80 to 100. Other things being equal, we would expect
A) the quantity demanded of the used textbook to increase and the quantity demanded of the new textbook to decrease.
B) the quantity demanded of both to fall.
C) the demand for the new textbook to increase and the demand for the used textbook to decrease.
D) the quantity demanded of the used textbook to decrease and the quantity demanded of the new textbook to increase.
Ques. 4Which of the following would most likely be part of the study of microeconomics?
A) how General Motors makes decisions regarding its production goals
B) national income
C) the total economic output of our domestic economy
D) overall price stability in the United States
Ques. 5The price of a new textbook increased by 25 percent and the price of a used textbook increased by 30 percent. What happened to the relative price of the new textbook?
A) It increased by 5 percent.
B) It increased, but we can't tell by how much without more information.
C) It decreased by 5 percent.
D) It decreased, but we can't tell by how much without more information.
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