Which of the following statements best represents economists' beliefs about the bias in the CPI as a measure of the cost of living?
a. Economists agree that the bias in the CPI is a very serious problem.
b. Economists agree that the bias in the CPI is not a serious problem.
c. Economists agree on the severity of the CPI bias, but there is still debate on what to do about it.
d. There is still debate among economists on the severity of the CPI bias and what to do about it.
d
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All of the following are included in gross private domestic investment expenditure EXCEPT a
A) business's purchase of a fleet of cars. B) household's purchase of a new house. C) business's purchase of another company's stock. D) a retail store's purchase of shoes to add to its inventory.
The interest-rate effect
a. depends on the idea that increases in interest rates decrease the quantity of goods and services demanded. b. depends on the idea that increases in interest rates decrease the quantity of goods and services supplied. c. is responsible for the downward slope of the money-demand curve. d. is the least important reason, in the case of the United States, for the downward slope of the aggregate-demand curve.
When Zimbabwe needed to finance the war against Congo, the government issued bonds and forced the Central Bank to buy those bonds in exchange for newly-printed Zimbabwean dollars. This action prompted a hyperinflation of almost 100,000 percent. This is an example of a lack of:
A. central bank effectiveness in its monetary policy. B. central bank economists running the institution. C. central bank independence. D. central bank dependence.
Using Figure 1.5 above, we know the production of 3 units of soda and 2 units of pizza is 
A. possible, but there would be unemployed. B. possible, but only if all resources were fully employed. C. impossible because we have the technology but do not have the resources. D. impossible because we have the resources but do not have the technology.