When the marginal propensity to consume is less than 1, the:
A. Average propensity to consume is greater than 1
B. Average propensity to save is greater than 1
C. Marginal propensity to save is negative
D. Marginal propensity to save is positive
D. Marginal propensity to save is positive
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Price controls date back to
A. World War II. B. the U.S. Revolutionary War. C. thousands of years, at least back to ancient Babylonia. D. the 1970s. E. the last 20 years.
If the Fed sells U.S. government securities to banks, the federal funds rate ________ and banks' reserves ________
A) falls; increase B) rises; increase C) falls; decrease D) rises; do not change E) rises; decrease
Choices must be made because of scarcity; people do not have enough time or money to get everything they want
a. True b. False Indicate whether the statement is true or false
Which statement is true?
A. GDP can never be greater than NDP. B. NDP can never be greater than GDP. C. GDP and NDP are always equal. D. None of the statements are true.