The Keynesian range of the aggregate supply curve is the portion where:
a. The average price level and real GDP do not change with movements in aggregate demand.
b. Real GDP does not change with movements of aggregate demand, but the average price level does change.
c. The average price level does not change with movements of aggregate demand, but real GDP does.
d. The average price level and real GDP change with movements in aggregate demand.
.C
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The idea that an improvement in technology causes an increase in population but causes no increase in the average standard of living is attributed to
A) Adam Smith. B) Thomas Malthus. C) Robert Solow. D) Milton Friedman.
Which of the following can reduce the number of cars imported?
A) a tariff B) a quota C) a ban D) All of the above.
There is a direct link between a nation's per capita real GDP and its:
a. c and e. b. c, d, and e. c. human capital investment. d. population. e. life expectancy.
Monetarists believe that to promote long-term economic growth, national governments should:
a. Increase government spending and reduce taxes. b. Reduce government spending and increase taxes. c. Promote research and development with federal funds. d. Impose tariffs and quotas until the nation is on its feet. e. Create stable and predictable political environments and encourage competitive markets.