Government purchases, under the expenditure approach to GDP accounting, do not include:
a. state government purchases of plumbing services.
b. Social Security benefit payments to retirees
c. the salaries of military officers.
d. federal government purchases of computers.
b
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Refer to the figure above. When the supply curve of flash drives is S2 and the demand curve of flash drives is D, what is the surplus in the market when the price is $7?
A) 0 units B) 10 units C) 20 units D) 40 units
The above figure gives your budget line between CDs and magazines. Which combination of CDs and magazines are affordable?
A) combination a B) combinations a, b, c, and d C) combination c only D) combinations b, c, and d
Under a flexible exchange rate system, which of the following will be most likely to cause a depreciation in the exchange rate value of the dollar (relative to the English pound)?
a. An economic boom occurs in England, inducing English consumers to buy more American-made automobiles, trucks, and computer products. b. Real interest rates in the United States fall lower than real interest rates in England. c. Restrictive monetary policy in the United States causes inflation to be lower than in England. d. Attractive investment opportunities in the United States induce English investors to buy stock in U.S. firms.
Refer to the figure below. The equilibrium price is ________, and the equilibrium quantity is ________. 
A. $4; 6 B. $8; 6 C. $6; 4 D. $2; 8