Since 1990, the growth rate of real gross private investment in the United States has been relatively ________ and the growth rate of real personal consumption has been relatively ________
A) stable; stable
B) stable; volatile
C) volatile; stable
D) volatile; volatile
C
You might also like to view...
Robert Lucas, a Nobel laureate in economics, argues that there are increasing returns to
A) knowledge capital. B) human capital. C) physical capital. D) financial capital.
According to Baumol and Blinder, the real-world multiplier will be smaller than 1/(1 ? MPC) because the 1/(1 ? MPC) measure is based on
A. a model that ignores inflation associated with the expansion of income. B. a model that adds taxes that tend to change as income changes. C. a model that adds the effects of international trade. D. a model that ignores the prices government faces
Economic growth shifts a society's production possibility frontier away from the origin.
Answer the following statement true (T) or false (F)
The cost of holding money in the form of cash is
A. Equal to whatever interest you would have received at the bank or other investment alternatives. B. Always considered by noneconomists when deciding how much money to hold. C. Negative. D. Nonexistent.