An increase in government expenditure can ________ potential GDP and an increase in taxes can ________ potential GDP
A) increase; never change
B) increase; increase
C) decrease; decrease
D) never change; never change
E) increase; decrease
E
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Structuralists believe the main cause of inflation is
a. rigidities in the economy's supply capabilities b. lack of sufficient aggregate demand c. weak position of labor unions d. government intervention in financial markets e. all of the above
In the above figure, what is the opportunity cost of one bushel of soybeans?
A) 1 bushel of corn B) 0.5 bushels of corn C) 2 bushels of corn D) unable to determine
Which of the following was the least prominent crop grown in the colonial U.S.?
a. Tobacco b. Sugar c. Wheat d. Rice
Economic growth depends on many factors including adherence to ____________ rights.
a. contractual b. business c. animal d. immigrant