The relationship between consumption and disposable income is very unreliable and unpredictable
a. True
b. False
Indicate whether the statement is true or false
False
You might also like to view...
Why would an economist claim that "oil comes out of our minds"?
A) She wants to sound silly. B) She wants to tell lies. C) She wants to remind us that the recognition of useful resources is a product of our mental abilities. D) She wants to sound like a really big and important theorist and could not care less about the facts of the real world.
We know the following about a tie manufacturer: tie sales $1,300, cotton purchases $750, wages $400, interest on business loans $100, and profits $50. What is the contribution to GDP of this producer using the income approach?
A) $550 B) $500 C) $450 D) $400
In the Keynesian aggregate expenditure graph (Figure 5-5), the 45 degree line is meant to indicate that:
a. planned aggregate expenditure always equals aggregate income. b. savings must equal investment. c. actual aggregate expenditure must equal aggregate income. d. actual income must equal planned income. e. none of the above.
The federal government
A. is the largest taxing entity in the country. B. is only concerned with international issues. C. spends heavily on net interest. D. all of these answer options are correct.