Markets Coordinate Output Decisions by Pushing

question 535

Multiple Choice

Markets coordinate output decisions by pushing

• A) up price when there is a shortage.
• B) down price when quantity demanded exceeds quantity supplied.
• C) up price when there is a surplus.
• D) up price when quantity supplied exceeds quantity demanded.

Evaluate the role of noncash and cash transfers in affecting income distribution.

Comprehend the difference between the lifetime and annual distribution of income.

Assess methods and approaches to reducing income inequality.

Understand the concepts of pre-tax and post-tax income distribution and the impact of taxes and transfers on income inequality.

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Definitions:

Procedural Knowledge

What a person knows but cannot really talk about; sometimes called knowing how.

Cognitive Psychology

The branch of psychology that studies mental processes including how people think, perceive, remember, and learn.

Explicitly Told

Information or instructions communicated in a direct, clear, and unambiguous manner.

Personal Strivings

An individual's long-term goals that guide their behavior and reflect their personal values.