Other things constant, a decrease in consumer income will do which of the following?
a. Cause a movement along the demand curve for large-screen television sets, but it will not shift the demand curve.
b. Decrease the demand for large-screen television sets.
c. Increase the demand for large-screen television sets.
d. Have no impact on the quantity demanded or the demand curve for large-screen television sets.
b. Decrease the demand for large-screen television sets.
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Refer to the below graphs. (Assume that the pre-migration labor force in Country A is 100 and that it is 150 in country B.) What part of domestic output in country B is the total wage bill before and after the immigration?
A. $1,700M before and $2,250M after
B. $2,250M before and $1,700M after
C. $1,500M before and $2,250M after
D. $1,700M before and $1,500M after
If we graph the consumption function such that it cuts the vertical axis at a point above the origin, this is because we are assuming that
A) the MPC is positive. B) the MPS is positive. C) autonomous consumption is positive. D) induced consumption is positive.
Economic theory suggests that the standard of living of American workers would rise if
a. the minimum wage were doubled. b. technological setbacks lowered output per worker hour. c. the amount of physical capital increased. d. automation was outlawed.
Technological progress leads to which of the following?
(A) An increase in efficiency. (B) Lower savings rates. (C) A decrease in efficiency. (D) A loss of interest in human capital.