The GDP deflator but not the CPI takes into account
a. The prices of imports that consumers buy
b. Investment goods bought by businesses
c. Goods bought by the government
d. Both b. and c.
d
You might also like to view...
The legality of which of the following actions would be determined using the rule -of-reason?
A) an agreement with a competitor firm to adjust output levels B) an agreement with a competitor firm to not sell to a particular customer C) an agreement with a competitor firm not to bid on a contract D) an exclusive dealings contract with a customer
The figure illustrates all of the following EXCEPT
A) if the union establishes by collective bargaining a wage rate that exceeds equilibrium at point Wu an excess quantity of labor will be supplied. B) if the union establishes by collective bargaining a wage rate that exceeds equilibrium, an excess quantity of labor will be demanded. C) there is a trade-off union leadership faces: Higher wages inevitably mean a reduction in total employment—a smaller number of positions. D) at higher wages, more workers will seek to enter the industry, thereby adding to the surplus of workers where QS is greater than QD.
John loves to travel. He would never turn down the opportunity to go on a trip. This means that, for John:
a. the total utility of travel always increases. b. marginal utility of travel never decreases. c. the law of diminishing marginal utility does not apply to travel. d. marginal utility of travel is always zero. e. extra travel yields zero consumer surplus.
The Federal Reserve conducts monetary policy
Indicate whether the statement is true or false