In the simple quantity theory of money, Real GDP and velocity are assumed to be constant
Indicate whether the statement is true or false
True
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Refer to above figure. Imagine that the relative capital abundance of Australia was so much greater than that of Sri-Lanka, that we would have to locate Australia far to the right on the K/L axis
If this were so far to the right that there was no area of overlap on the w/r axis, then what product would Australia export? Which product will each of the trade partners export? Will the relative wages as calculated now be the same or different in both Australia and Sri Lanka?
In a bilateral monopoly, the wage rate that is determined in the market
A) is equal to MFC. B) is equal to MRP. C) is indeterminate. D) is the same as in a perfectly competitive market.
In response to the climate change issue, President Obama
a. pledged to reduce the nation’s GHG emissions by 17 percent below 2005 levels by 2020 b. has vetoed all environmental bills that do not include a cap-and-trade program c. implemented a national carbon tax effective in 2012 d. committed the United States to participating in the EU ETS, starting in 2012
The price indexes that are alternatives to the CPI are ________.
A) unbiased CPI and the unbiased GDP deflator B) the GDP deflator and the chained price index for consumption C) the chained price index for consumption and the CPI deflator D) the core GDP deflator and the CPI deflator E) the GDP deflator and the CPI deflator