The money multiplier equals 1/(1 - R), where R represents the reserve ratio
a. True
b. False
Indicate whether the statement is true or false
False
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Which of the following contributed to the turn-around in the U.S. government budget from a surplus in the early 2000s to record deficits by the end of the decade?
A. An increase in tax revenues because of a recession. B. An increase in business saving. C. An increase in government purchases on homeland security and wars. D. An increase in household saving.
A good that is nonrival but exclusive is called
a. a private good b. a public good c. a quasi-private good d. an external good e. a normal good
Scholarly estimates of the impact of immigration on the average American wage rate are in the range of:
A. -3% to +2% B. -3% to -2% C. -1% to +3% D. -5% to +1%
The value of the marginal product of labor is the:
A) value of the output produced by all the workers in a firm. B) contribution of an additional unit of labor to a firm's revenue. C) extra output that is produced by hiring an additional unit of labor. D) amount of output produced by the first unit of labor hired by a firm.