Consider the above figure. The equation for the consumption function is
A) C = 40 + 50Yd. B) C = 40 + 0.33Yd. C) C = 40 + 60Yd. D) C = 40 + 0.1Yd.
B
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In the monetary intertemporal model, the long-run effects of an increase in the level of money include
A) an increase in employment. B) lower output. C) higher real wages. D) higher nominal wages.
In a country with a working-age population of 30 million, 18 million are employed, 2 million are unemployed and 2 million of the employed are working part-time, half of whom wish to work full-time. The labour force participation rate is
A) 60 percent. B) 66.7 percent. C) 53.3 percent. D) 73.3 percent E) none of the above.
What cause Production possibilities curve to shift?
What will be an ideal response?
Hotelling's model has been used to describe differentiation in the political "market." Suppose that 100 voters are evenly distributed between the extreme left and the extreme right on the political spectrum, and that all voters vote, and they always vote for the candidate closest to them on this spectrum. The numbers on this spectrum represent the number of voters lying to the left of the number. So, at the midpoint, fifty voters lie to the left and fifty to the right.
Suppose Candidate X is running against Candidate Y. If Candidate Z enters the race:
A. most of the voters who were going to vote for Y will now vote for Z. B. approximately half of the voters who were going to vote for X will now vote for Z. C. X will win because Y and Z will be competing for the same voters. D. all of the voters who were going to vote for Y will now vote for Z.