A macroeconomist would most likely study
A) the effects of changing grape prices on the market for oranges.
B) the effects of an increase in wage rates on a woman's decision to enter the labor force.
C) the effects of a lower income tax rates on the nation's total production of goods and services.
D) the effect of increased union wages on the cost of producing automobiles.
Answer: C
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Which of the following is TRUE?
I. As the real interest rate increases, people increase the quantity they save. II. The supply of loanable funds curve is downward sloping. III. As disposable income increases, the supply of loanable funds curve becomes steeper. A) I and III B) II and III C) I only D) III only
The difference between the average total cost and the average fixed cost is the average variable cost
Indicate whether the statement is true or false
Disposable income does not influence the amount of consumer expenditures.
Answer the following statement true (T) or false (F)
Because consumers who have insurance provided by their employers usually only pay a deductible for a visit to the doctor's office
A) they demand a larger quantity of health care services than they would if they paid a price that better represented the true cost of providing the service. B) they demand a smaller quantity of health care services than they would if they paid a price that better represented the true cost of providing the service. C) the doctors supply a smaller quantity of health care services than they would if the consumer paid a price that better represented the true cost of providing the service. D) the insurance companies provide a larger quantity of health care services than they would if the consumer paid a price that better represented the true cost of providing the service.