(02.04 HC) Use the table to answer the question that follows. Year Price of X Quantity of X Price of Y Quantity of Y 1 $8 5 $9 7 2 $5 5 $7 7 The economy produced only two goods with the prices and quantities of each good for year 1 and year 2 shown in the table. Which of the following describes the state of the economy in year 2?

(03.06 MC) Assume an economy is in short-run equilibrium with a real output (or real GDP) of Y0 and a price level of PL0. If the government increases income taxes on all income levels, what is the likely effect?

(02.03 MC) Why do economists state the unemployment rate tends to underestimate the inadequacy of labor market opportunities?

(02.01 LC) Which of the following is true in the circular flow model of the economy?

(04.02 MC) If it is assumed that the nominal interest rate is 8% and the expected rate of inflation is 3%, what is the expected real interest rate?

(02.05 LC) Assume that the inflation rate in an economy is expected to be 3% but turns out to be -1% instead. Which of the following statements about the economy is true?

(03.03 MC) Which of the following statements about the short-run aggregate supply curve (SRAS) is true?

(01.06 MC) Use the graph to answer the question that follows.If the supply curve of automobiles in the market shifted from S1 due to an increase in the custom duty on imported car parts, then by what amount did the quantity of automobiles change from its original equilibrium level?

(02.05 LC) Which of the following scenario shows the cost of unexpected deflation?

(05.03 MC) Assume that an economy is characterized by its efficient use of available human resources. The central bank of this economy enacted the expansionary monetary policy that influences the available money supply. Which of the following is true in this scenario?