(Last Word) The fallacy of composition is essentially the error of:
A. omitting relevant variables in constructing a model.
B. reasoning from the general to the particular.
C. confusing cause and effect in economic relationships.
D. generalizing from the particular to the general.
Answer: D
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A. recessionary; lower; potential B. expansionary; lower; potential C. expansionary; higher; potential D. recessionary; lower; lower
If an economy is producing a level of output which is higher than the equilibrium level, planned expenditures ________ total output and ________ goods and services are being produced than are being demanded
A) exceed; more B) exceed; fewer C) are less than; fewer D) are less than; more
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Is it possible that there could be growth of per capita income without the achievement of these other objectives?
What two trends was Canada trying to address in negotiating CUSTA?
What will be an ideal response?