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1.The market is in equilibrium; then the cost of a substitute good declines and the taxes paid by the producer increase. What will happen to equilibrium price and quantity?

 

2. Prices in year one are $400. In year two they are $700. In year three they are $800. In year four they are $900. What is the price index for year three?

 

 

 

3. The market is in equilibrium and then the number of buyers for this product increases and the cost of the resources for this product increases. What will happen to equilibrium price and quantity?

 

 

4. An example of a labor resource is:

 

 

5. Consumption is 800. Investment is 600. Government spending is 700. Exports are 900. Imports are 1000. The price index is 200. What is real GDP?

 

 

 

6. A point inside the production possibility curve can be reached by:

 

 

 

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