When we add a personal income tax to the macroeconomic model, the
a. multiplier becomes larger.
b. multiplier becomes smaller.
c. expenditures schedule shifts upward.
d. expenditures schedule becomes steeper.
b
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In the last 20 years, all of the following measures of the manufacturing sector have declined except:
a. total employment in manufacturing. b. manufacturing employment as a share of the labor force. c. manufacturing output as a share of GNP. d. total manufacturing output.
In 2011, U.S. GDP totaled approximately:
a. $2.1 trillion b. $2.8 trillion c. $10.7 trillion d. $15.0 trillion
Abstraction can lead to gross distortions of pertinent facts.
Answer the following statement true (T) or false (F)
On a linear demand curve, demand is ________ at small quantities than it is at the middle of the demand curve.
A. more elastic B. less elastic C. equally elastic D. There is insufficient information in the question.