When the colonies obtained independence they were no longer bound by a number of English laws, including the Navigation Acts which restricted and regulated trade. What best describes the impact of the removal of the Navigation Acts for commodities that were imported from England?
a. A shift out of the supply curve and a shift back in the demand curve, which lowered prices.
b. A shift out in the supply curve, which decreased the price and increased the quantity.
c. A shift back in both the supply and demand curves, which decreased quantity.
d. A shift back in the demand curve, which lowered both price and quantity.
Question 2
Food rationing during World War I under the wartime food administration featured
a. voluntary calls for Meatless Mondays and Wheatless Wednesdays.
b. a broad policy of direct controls on prices set by the Food Administrator.
c. rationing for all food products except sugar.
d. a pervasive belief that fear of government retribution, rather than appeals to moral principles, was key to reducing consumption, and maintaining food surpluses for export.
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