Cost-of-living adjustment clauses (COLAs):
A. invalidate the "rule of 70."
B. apply only to demand-pull inflation.
C. increase the gap between nominal and real income.
D. tie wage increases to changes in the price level.
D. tie wage increases to changes in the price level.
You might also like to view...
Tax policy conducted for the purpose of achieving full employment, price stability, or economic growth is an example of
A) discretionary fiscal policy. B) interest-rate policy. C) monetary policy. D) exchange-rate policy.
You are a baker. You paid $150K in wages, $50K for dough, $20K for power, $5K in interest for a business loan, $25K in taxes, and made a profit of $10K. How much did you contribution to GDP using the product approach?
A) $80K B) $85K C) $190K D) $260K
The implicit cost of ownership:
A. is a cognitive bias if it goes ignored. B. leads people to value things more once they possess them. C. is a nonmonetary opportunity cost that is often overlooked. D. All of these are true.
Which of the following is true about games in which people have different information?
A. Participants in these games can sometimes learn important information from the behavior of others. B. Participants in these games never act in a way contrary to his immediate interests. C. Participants in these games always act in a way contrary to his immediate interests. D. These games always have a Nash equilibrium.