Why do many economists argue that modern macroeconomics began in the 1930s during the Great Depression?
a. The Great Depression disproved many of the concepts of traditional microeconomics,
necessitating the growth of a new field of theory.
b. The devastating effects of the Great Depression drove economists to discover ways
to mitigate unemployment through economic policy.
c. Macroeconomics developed as a way to capture growing interest in economics,
previously an obscure field of study, following the Great Depression.
d. Before the Great Depression, unemployment had little impact on national economies,
and macroeconomic principles were largely inapplicable.
b. The devastating effects of the Great Depression drove economists to discover ways
to mitigate unemployment through economic policy.
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Which of the following sets of goods might, under the right circumstances, be substitutes for an automobile?
A) Buses, trains, planes B) Powerboats, blimps, motorcycles C) Motels, tents, cardboard boxes D) Designer suits, fine wines, fancy homes E) All of the above.
Price floors typically improve market efficiency
a. True b. False Indicate whether the statement is true or false
Oligopoly: a. Meets the condition for allocative efficiency. b. Meets the condition for productive efficiency. c. Leads to slower technological progress
d. None of the above is true.
The scope of a firm refers to its
A) vertical boundaries. B) economies of scale. C) horizontal boundaries. D) all of these choices.