Which of the following is true?
A. A variable has a causal effect on another variable if both variables increase or decrease simultaneously.
B. The notion of ‘ceteris paribus' plays an important role in causal analysis.
C. Difficulty in inferring causality disappears when studying data at fairly high levels of aggregation.
D. The problem of inferring causality arises if experimental data is used for analysis.
Answer: B
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When a government has a large budget deficit, it must issue government bonds to finance the deficit. Explain if it matters for the rate of inflation if the government sells the bonds to the public or sells the bonds to the central bank?
What will be an ideal response?
Which of the following mergers would result from the purchase of a retail clothing chain by a computer software company?
a. A horizontal merger. b. A vertical merger. c. A conglomerate merger. d. A monopoly merger.
Wealthy countries increasingly feel that trade:
A. can sometimes be a more powerful lever than aid to help poorer countries develop. B. is sometimes acting as a barrier to poorer countries' development. C. is an effective political tool to use against poorer countries. D. can help poorer countries development, but hurt their overall growth.
Refer to the information provided in Table 2.1 below to answer the following question(s). Table 2.1?KrystalMarkWriting Poems812Writing TV Commercials24Refer to Table 2.1. For Mark, the opportunity cost of writing six TV commercials is ________ poems.
A. 2 B. 18 C. 24 D. an indeterminate number of