Dr. Steven Myers First Examination Introduction to Economic Analysis Choose the one alternative that best completes the statement or answers the question. Higher inflation is negatively related to the unemployment rate. Assume that the world contains only two people, Bo and Joe.
Economists are strong advocates of the virtues of allocation through the price system.
However, the price system may not deal adequately with certain types of problems. Assume that Betty and Ann live on a desert island. All of the above. Money, specialization and exchange. Specialization and economies of large-scale production.