Transfer payments are part of personal income but not national income because
A. National income is a receipts concept.
B. They are a payment for which no goods or services are exchanged.
C. They represent a payment to factors of production.
D. Personal income is an earnings concept.
Answer: B
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The application of new technologies to the production process will increase:
A. the quantity of human capital. B. the unemployment rate. C. average labor productivity. D. the share of the population employed.
Who had served as a de facto lender of last resort during the 1907 panic?
A) The U.S. Treasury B) J. P. Morgan C) Henry Ford D) John D. Rockefeller
How can government policy stimulate economic growth?
a. increasing spending on Social Security payments b. decreasing spending on research and development forcing it to be more efficient c. increasing research and development of new technology d. decreasing spending to end the budget deficit
Every time new firms enter a monopolistic competitive market, the firms already in the market find their
a. price rising to make up for lost customers b. cost curves shifting upward, reflecting increased inefficiency c. profits increasing because total revenues increase with more firms in the market d. demand curves becoming more inelastic as only loyal customers remain e. demand curves shifting inward to the left