Using Figure 1 above, if the aggregate demand curve shifts from AD2 to AD1 the result in the long run would be:
A. P4 and Y1.
B. P4 and Y2.
C. P5 and Y1.
D. P5 and Y2.
Answer: D
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Monetary policy refers to the actions the Federal Reserve takes to manage
A) the money supply and income tax rates to pursue its economic objectives. B) government spending and income tax rates to pursue its economic objectives. C) income tax rates and interest rates to pursue its economic objectives. D) the money supply and interest rates to pursue its economic objectives.
Which of the following statements is true about the total utility provided by a good?
a. Total utility can never be negative. b. Total utility is maximized when marginal utility is maximized. c. Total utility continues to increase as more of the good is consumed. d. Total utility is maximized when marginal utility is zero (for total utility > 0). e. Total utility is maximized when marginal utility is zero (for total utility < 0).
Discuss that factors that help explain the rapid productivity growth in the United States after 1995.
What will be an ideal response?
In the table at? right, how many workers are employed when marginal product reaches its? maximum?
A. 1
B. 3
C. 4
D. 2