If members of the labor force who had been classified as "unemployed" fail to find a suitable job and stop looking for work, their decision tends to make the unemployment rate
A. increase as the labor force increases.
B. decrease as the labor force decreases.
C. increase as the labor force decreases.
D. decrease as the labor force increases.
Answer: B
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Following housing market collapse, U.S. personal saving rates have
A) increased. B) decreased. C) remained the same. D) data not yet available.
If the level of consumption is $100 billion and disposable income is $125 billion, then the
A) APC = 0.6 and saving is positive. B) APC = 0.8 and saving is negative. C) APC = 0.8 and saving is positive. D) APC = 0.6 and saving is negative.
A franchisee works than a salaried manager of company store because
a. Less, he doesn't get to keep the additional profits he generates b. Harder, he gets to keep the additional profits he generates c. Lesser, he is generally lazy d. Harder, he doesn't get to keep the additional profits he generates
The demand curve for capital
a. is vertical. b. is horizontal. c. is derived from households' decisions concerning saving and spending. d. reflects the marginal productivity of capital.