In general, lower marginal tax rates provide incentives to
A. Produce more output.
B. Work less.
C. Find more tax loopholes.
D. Invest less.
Answer: A
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Which of the following is not an institutional constraint that limits the United States' production possibilities?
A. Blue laws that restrict bars and liquor stores from opening on Sunday B. Restrictions on child labor C. The fact that Americans dislike working at night or on the weekends D. Workers who are "in between" jobs
Explain why a voluntary production quota is difficult to operate
What will be an ideal response?
The Bureau of Economic Analysis releases last quarter's growth rate in real GDP. This release would most likely have been written by what kind of an economist?
A. A monetary economist B. A macroeconomist C. A microeconomist D. A labor economist AACSB: Reflective Thinking
People have their highest saving rates when they are
a. retired. b. middle-aged. c. married with young children. d. young and single.