Government purchases include all of the following except:
A. the construction of a new court house built by a county government.
B. the purchase of new military hardware by the U.S. Army.
C. social security benefits paid by the federal government.
D. the salary paid to an elementary school teacher employed by a local public school district.
Answer: C
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The relationship between distance traveled in five hours and speed shown in the figure above is
A) positive. B) negative. C) inverse. D) cross-sectional. E) multilateral.
In an unregulated, competitive market, less than the efficient quantity of education is produced and consumed because
A) the decisions to produce and consume education are based on marginal private costs and marginal private benefits. B) the decisions to produce and consume education are based on marginal social costs and marginal social benefits. C) the decisions to produce and consume education are based on marginal private benefits and marginal social costs. D) marginal private costs are consistently greater than marginal private benefits.
Assume that for Canada the opportunity cost of producing 1 television set is 2 bushels of wheat. Assume that for the U.S. the opportunity cost of producing 1 bushel of wheat is 2 television sets. All other things being equal:
A. Canada should export televisions and import wheat. B. Canada should export wheat and import televisions. C. the United States should export wheat and import televisions. D. the United States should export televisions and import wheat.
Refer to the information provided in Table 22.2 below to answer the question(s) that follow. Table 22.2 PointAggregate Income (Y)Aggregate Consumption (C) A 10 14 B 20 23 C 30 25 D 40 26 E 50 34 F 60 39The data in the table was used to estimate the following consumption function: C = 12 + 0.4YRefer to Table 22.2. The error for point F is equal to
A. -6. B. -3. C. -1. D. +2.