Refer to Figure 10-3. Which of the following is consistent with the graph depicted above?
A) The government runs a budget deficit.
B) An expected recession decreases the profitability of new investment.
C) Taxes are changed so that real interest income is taxed rather than nominal interest income.
D) Technological change increases the profitability of new investment.
C
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The Southern economy ________________ from the damages of the Civil War.
A. quickly recovered B. experienced no lingering effects C. suffered decades of economic transition
An aggregate production function:
A) shows various combinations of labor and capital that can be used to produce a particular good. B) shows various quantities of two goods that can be produced at a given cost. C) shows the relationship between a country's GDP and its factors of production. D) shows the relationship between a country's output and its price level.
In 2015, Ford Motor Company's sales were rising. These events were caused by
A) improving quality of service. B) an economic recession. C) an increase in advertising. D) an economic expansion.
The infant-industry argument about tariffs argues that:
A. it is unfair to levy tariffs on items intended for use by infants. B. tariffs should be levied on foreign products that compete with new domestic industries only in the short run. C. if a newly established domestic industry can survive in the short run, a tariff should be levied to protect it from foreign competition in the long run. D. permanent tariffs should be levied on foreign products that compete with those produced by newly established domestic industries.