Refer to Figure 11.2. Suppose that Ca = 40, MPC = 0.8, I = 10. The value of autonomous consumption is

A) 10. B) 40. C) 50. D) 80.


B

Economics

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Between the 1880s and the early 21st century, U.S. productivity increased at a constant annual rate

a. True b. False Indicate whether the statement is true or false

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If Sally Smith creates VCU1 by playing an online game, the effect is to cause the nation's:

a. Monetary base to fall. b. M2 money supply to fall. c. M2 money multiplier to remain the same. d. M2 money multiplier to fall.

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The market basket used to calculate the CPI in Aquilonia is 4 loaves of bread, 6 gallons of milk, 2 shirts, and 2 pairs of pants. In 2005, bread cost $1.00 per loaf, milk cost $1.50 per gallon, shirts cost $6.00 each, and pants cost $10.00 per pair. In 2006, bread cost $1.50 per loaf, milk cost $2.00 per gallon, shirts cost $7.00 each, and pants cost $12.00 per pair. Using 2005 as the base year,

what was Aquilonia's inflation rate in 2006? a. 4 percent b. 11 percent c. 19.6 percent d. 24.4 percent

Economics

What usually happens after an adverse supply shock?

What will be an ideal response?

Economics