If we compare the U.S. GDP and the Chinese GDP
A) real GDP per person is about the same in the two countries.
B) U.S. real GDP per person is less than China's real GDP per person once we adjust for currency differences.
C) China's real GDP per person is less than real GDP per person in the United States.
D) real U.S. GDP per person was much larger than China's real GDP per person when purchasing power parity prices are used but is less than China's real GDP per person when exchange rate prices are used.
C
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Compare and contrast the classical and Keynesian schools of thought for the following economic issues. (a) The flexibility of wages and prices. (b) The importance of macroeconomic policies
What will be an ideal response?
_____ unemployment is experienced by a customer service representative who is laid off from a job because new technology reduces the need for people to handle customer service inquiries
a. Seasonal b. Cyclical c. Voluntary d. Structural e. Frictional
If the inflation rate exceeds the nominal rate of interest,
a. the real interest rate is negative. b. lenders lose. c. savers lose. d. all of these.
The opportunity cost of capital owned by the firm should reflect
A. the return foregone by using the capital rather than renting it to another firm. B. acquisition cost. C. wage rate differences. D. both a and b