The price of imported oil rises. If the government wanted to stabilize output, which of the following could it do?
a. increase government expenditures or increase the money supply
b. increase government expenditures or decrease the money supply
c. decrease government expenditures or increase the money supply
d. decrease government expenditures or decrease the money supply
a
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Theory in economics
a. involves some simplification of reality b. bears no relation to reality c. approaches reality in all its complexity d. involves so much distortion of reality that it is worthless e. focuses on the unique aspects of each situation
In 2010, households in the lowest quin tile of the income distribution received
a. 3.8 percent of aggregate income. b. 5.7 percent of aggregate income. c. 8.7 percent of aggregate income. d. 10 percent of aggregate income.
Today the typical American pays approximately what percent of income in taxes, including all federal, state, and local taxes?
a. 5 percent b. 25 percent c. 35 percent d. 50 percent
If the price of the good measured on the horizontal axis is subject to volume discounts, then:
A. the budget line will get steeper as the consumer moves along it from left to right. B. the budget line will get flatter as the consumer moves along it from left to right. C. the indifference curve will get steeper as the consumer moves along it from left to right. D. the indifference curve will get flatter as the consumer moves along it from left to right.