In terms of the impact on aggregate expenditure of alternative methods of raising additional revenue for government spending,
a. borrowing from banks is more effective than taxation, which is more effective than borrowing from the public.
b. taxation is more effective than borrowing from the public, which is more effective than borrowing from banks.
c. borrowing from banks is more effective than borrowing from the public, which is more effective than taxation.
d. borrowing from the public is more effective than borrowing from the banks, which is more effective than taxation.
c. borrowing from banks is more effective than borrowing from the public, which is more effective than taxation.
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Which of the following is a market transaction?
A. A stock increases in value over the 30 years that it is owned. B. A radio station changes its programming from classical to rock. C. Weather destroys a farmer's crops, leaving the farmer unable to buy groceries. D. A college student purchases a laptop computer.
When there is an excess quantity supplied
A. quantity demanded is greater than quantity supplied. B. quantity demanded is less than quantity supplied. C. the market is in equilibrium. D. prices will remain stable.
Refer to the information provided in Figure 16.2 below to answer the question(s) that follow.
Figure 16.2Refer to Figure 16.2. To force this firm to produce the ________ level of output, the government should ________ of $10.00 per car.
A. efficient; impose a tax B. market; issue a subsidy C. market; impose a tax D. efficient; issue a subsidy
Markets
A) facilitate trade. B) allow traders to enjoy gains from trade. C) coordinate price information between buyers and sellers. D) All of the above answers are correct.