When real Gross Domestic Product (GDP) is below total planned real expenditures
A. a lower level of equilibrium real Gross Domestic Product (GDP) will occur.
B. the circular flow will increase.
C. a higher level of equilibrium real Gross Domestic Product (GDP) will occur.
D. there will be unplanned increases in inventories.
Answer: C
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The production possibilities curve illustrates
A. The existence of unlimited wants and resources. B. The limitations that exist because of scarce resources. C. That there is no limit to the level of output. D. That there is no limit to what an economy can produce.
Refer to the data. Diminishing returns begin to occur with the hiring of the _________ unit of labor
Use the following data to answer the question:
A. first
B. second
C. third
D. seventh
From 8 to 11 p.m., Sam can either attend a basketball game, a hockey match or the symphony. Suppose that Sam decides to attend the hockey match and thinks to herself that if she did not go to the match she would go to the symphony
Then the opportunity cost of attending the hockey match is A) going to the symphony and the basketball game. B) going to the symphony. C) going to the basketball game. D) three hours of time.
The point price elasticity of demand for red herring is -4. The demand curve for red herring is: Q = 120 - P. What is the price of red herring?
A) $96 B) $80 C) $100 D) $120 E) none of the above