Refer to the Article Summary. Assume that foreign governments begin to publicize their existing medical services to American medical tourists and more Americans consider hip-replacement surgery to improve their quality of life
What will happen in the market for hip-replacement surgery as a result of these two factors?
A) Demand will increase, but these two factors will not shift the supply curve.
B) Demand will increase and supply will decrease.
C) Supply will increase, but these two factors will not shift the demand curve.
D) Demand and supply will both increase.
A
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There are four limitations to the effectiveness of discretionary fiscal policy. Which item below is NOT one of these limitations?
A) shrinking area of lawmaker discretion B) lawmaking time lag C) estimating potential GDP D) fiscal multiplier E) economic forecasting
Define the utility possibilities frontier. Explain what it means when society is inside the utility possibilities frontier. Explain what it means when society is on the utility possibilities frontier
Explain what determines the point that society arrives at on the utility possibilities frontier.
Based on the graph above, a cause of movement from point 1 to point 2 might be ________
A) a positive price shock B) government policy that lowers unemployment C) an increase in potential output D) an increase in expected inflation E) none of the above
According to the rule of 70, a country will double its real GDP per capita in 35 years if it grows at an average of ________ per year.
A. 3.5 % B. 2.0% C. 5.0% D. 7.0%