Consumption expenditures were previously the largest component of GDP, but with the growth of government and government expenditures, this is no longer true
a. True
b. False
Indicate whether the statement is true or false
False
You might also like to view...
Needs and wants are different. Wants are things that are:
a. Crucial, have to have b. Desired, but not necessary for survival c. Economic only d. Important for getting ahead
Which of the following is a difference between real GDP per capita and real GDP per worker hour?
a. Real GDP per capita is the dollar value of output produced by an average worker in one hour, while real GDP per worker hour is the number of available goods and services per person. b. Real GDP per capita is the ratio of real GDP to population, while real GDP per worker hour is the ratio of GDP to the number of hours worked. c. Real GDP per capita is the difference between real GDP and population, while real GDP per worker hour is the difference between real GDP and the number of hours worked. d. Real GDP per capita increases with an increase in population, while real GDP per worker hour decreases with an increase in population.
The economy is in equilibrium, TP = TE, and Real GDP is $500 billion. The MPC is 0.95, the multiplier is operative, and idle resources exist at each expenditure round. Autonomous investment spending rises by $4 billion. As a result, the TE curve shifts __________, inventory levels unexpectedly __________, business firms __________ the quantity of goods and services they produce, and Real GDP
__________ by __________. A) upward; fall; increase; rises; $3.8 billion B) upward; fall; increase; rises; $8 billion C) downward; rise; decrease; falls; $80 billion D) upward; fall; increase; rises; $80 billion E) downward; fall; decrease; falls; $3.8 billion
Calculate the firm's total profit.
