When the economy is operating well below capacity, an increase in spending tends to be reflected primarily in a(n):
a. lower level of employment.
b. increase in price.
c. lower level of output.
d. higher level of output and employment.
e. increase in business failures.
d
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A voucher is
A) the production of a good by some public institution. B) a payment that government makes to private producers. C) a token that government provides to households to use in purchasing a specific good. D) a permit to pollute. E) a tax that is imposed on consumers rather than producers.
The classical economists believed that recessions
A. needed to be fought with monetary and fiscal policy. B. would probably develop into depressions. C. develop into inflations. D. would cure themselves.
About what percent of the world's poorest people are female?
a. 30 b. 50 c. 70 d. 90
If the rate of unemployment is neither rising nor falling, then the number of people finding jobs must equal the number of people:
A. unemployed. B. losing or leaving jobs. C. looking for jobs. D. leaving the labour force.