The crowding-out effect is likely to be greater when the
A. economy is in a serious recession.
B. government is incurring surpluses, rather than deficits.
C. economy is at full employment.
D. the unemployment rate is rising.
C. economy is at full employment.
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Which of the following is a flow variable?
A) consumption B) savings C) wealth D) population
A price discriminating firm will tend to charge a ________ price for the category of customer with the ________ elasticity of demand
A) higher; higher B) higher; lower C) lower; lower D) 100 percent markup; infinite
Positive-Incentive
What will be an ideal response?
Special interest group K receives a 1/100th slice of the economic pie. Its net benefit from either an economic growth policy or a transfer policy is $200,000. In order for group K to be indifferent between the two policies, the economic growth policy would have to make the size of the economic pie (Real GDP) grow by _________________. This type of analysis is used to show that special interest
groups tend to press government for ______________ instead of ________________. A) $20,000,000; economic growth; transfers B) $2,000,000; transfers; economic growth C) $20,000,000; transfers; economic growth D) $20,000,000; transfers; economic growth E) none of the above