How well fiscal policy works depends on how much the velocity of money can be changed by government tax and spending decisions.
Answer the following statement true (T) or false (F)
True
Fiscal policy will ultimately change only the government and private sector's share of spending unless the velocity of money changes.
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See table below. Does production exhibit increasing costs? Which ring and machine combination will achieve the highest growth in the production of mood rings? Saturn Rings Machines 30 0 20 5 10 8 0 10
What will be an ideal response?
Assume that workers in a purely competitive industry are earning a wage rate of $15 and the price of the product they are producing is also $15 what does this imply about the marginal productivity of these workers?
What will be an ideal response?
Refer to Figure 24-1. Ceteris paribus, an increase in the price level would be represented by a movement from
A) AD1 to AD2. B) AD2 to AD1. C) point A to point B. D) point B to point A.
A cartel
a. consists of two firms that collude to eliminate product differentiation so that they can sell their goods as identical goods b. is a group of firms that collude to limit competition within their market c. refers to the breakup of a firm into two or more firms where each produces a good that does not compete against the others d. is a government-supported merger of two or more firms to improve the nation's advantage in international trade e. is an illegal merger of two firms that produce unrelated goods