If nominal wealth increases faster than real wealth:
A. real wealth must eventually decline.
B. society is better off than if nominal wealth growth had matched real wealth growth.
C. real wealth will eventually rise faster in order to catch up.
D. asset inflation has occurred.
Answer: D
You might also like to view...
The form of economic organization in which productive resources are privately owned by individuals, and those individuals independently decide what to produce is called
A) communism. B) capitalism. C) socialism. D) utilitarianism.
Which of the following would result from a tariff?
a. An increase in government budget deficit b. An increase in domestic production c. A greater volume of international trade d. Increased domestic consumption e. Decrease in prices of the imported goods
During the last four decades, defense expenditures have
a. accounted for approximately one-half of federal expenditures. b. accounted for less than 10 percent of federal expenditures. c. been increasing as a share of federal expenditures. d. been declining as a share of federal expenditures.
Full employment means which of the following is zero?
What will be an ideal response?