In a closed economy, public saving is equal to which of the following? (Y = GDP, C = Consumption, G = Government purchases, T = Taxes, and TR = Transfers)
A) Y - C - T
B) Y - G - T
C) T - G - TR
D) Y - C - T + TR
Answer: C
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Which U.S. government agency determines the magnitude of antidumping duties?
a. the U.S. International Trade Commission b. the Office of the Special Trade Representative c. the International Monetary Fund d. the Department of Commerce
Which of the following would a Keynesian macro model include to describe the effect of a tax cut?
A. Multiplier spending responses. B. Interest rate rises. C. Labor supply and production responses. D. A positive relationship between interest rates and investment.
The additional cost to a producer of hiring an additional unit of labor is called the marginal cost
Indicate whether the statement is true or false
Who said: "Wealth has never been a sufficient source of honor in itself. It must be advertised and the normal medium is obtrusively expensive goods."
A. The theory would predict that people's consumption would be greater than their income until their mid to late 20s. B. A person who won a prize would spend at least 50 percent of their winnings in the first year. C. Consumption is greater than income when people reach old age. D. People gear their consumption to their expected earnings more than to their current income.