Suppose that a study is released stating that as people increase the number of times they brush their teeth each day, they increase the number of times they go to the gym each week. This is best described as an example of
A. positive correlation.
B. negative correlation.
C. positive causation.
D. negative causation.
Answer: A
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Use the above table. At an income of $150
A) real saving is $20. B) real dissaving is $50. C) real saving is $10. D) real dissaving is $10.
If the marginal product of capital is greater than the rental cost of capital in terms of goods and services, then ________
A) the firm should continue to produce using that same amount of capital B) the firm should add additional capital C) the firm should reduce the amount of capital is using D) diminishing returns have been avoided
Restrictive covenants place constraints on the behavior of ________
A) borrowers B) lenders C) the central bank D) the executive branch of the federal government
According to the text, the actual M2 multiplier in the United States today is
A) about 5. B) between 1.0 and 2.0. C) negative. D) over 10.