Aggregate expenditure is total
A. value added in the economy.
B. income of households, businesses, governments, and foreigners.
C. spending on final goods and services.
D. revenue from the sale of goods and services.
Answer: C
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Exhibit 30-3 Costs of Eliminating:Firm A Firm B Firm C 1st ton of pollution$ 30 $ 50 $ 600 2nd ton of pollution$ 70 $ 90 $ 700 3rd ton of pollution$125 $150 $ 900 4th ton of pollution$200 $250 $1,300 Refer to Exhibit 30-3. Suppose that Firms A, B, and C are the only polluters in the state and that each emits 4 tons of pollution into the atmosphere. To cut the level of pollution in half the government issues two transferable pollution permits to each firm. What is the total cost to society of decreasing pollution to half its present level if firm C buys one pollution permit from firm A and one pollution permit from firm B?
A. $515 B. $1,300 C. $1,380 D. $965 E. $10,350
An intermediate good is
A) always counted when measuring GDP because it doesn't represent time spent in production of a final good or service. B) a good whose value is of neither a high grade nor a low grade. C) a good that is sold to the government and then redistributed to the poor. D) any good that is resold by its purchaser rather than used as is.
Which economist first identified an inverse relationship between rates of inflation and rates of unemployment?
a. John M. Keynes b. A. W. Phillips c. Robert Barro d. Adam Smith e. Arthur Laffer
In both the case of the CPA painting her house and the painter filing his taxes, what is the determining factor that causes them to use professional services? What is the benefit of this specialization?
What will be an ideal response?