Which of the following sets of categories correctly describes the categories of nonconsumption injections?
A) foreign imports, private domestic investment, government transfer payments
B) capital consumption allowances, government transfer payments, net exports
C) net exports, inventory accumulation, government transfer payments
D) government purchases of goods and services, net exports, private domestic investment
D
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The multiple changes in income and output that results from a change in autonomous expenditure is called the multiplier
Indicate whether the statement is true or false
A change in any of the ceteris paribus conditions for demand leads to a
A) a good going from an inferior good to a normal good. B) movement along the demand curve. C) shift of the demand curve. D) change in supply.
If a 1 percent change in income generates a greater than 1 percent change in quantity demanded for boat rentals, then the demand for boat rentals
a. is a good illustration of Engel's law b. reflects the demand for an inferior good c. has a price elasticity greater than one d. is income elastic e. is income inelastic
Natural monopolies include
A. cell phone companies. B. colleges and universities. C. fast-food outlets. D. the local water company.