Which would be one of the factors that increase aggregate demand?
a. An increase in the productivity of labor
b. An increase in personal income tax rates
c. An increase in consumer wealth
d. An increase in real interest rates
c. An increase in consumer wealth
You might also like to view...
Assume that initially country A exchanges three barrels of oil for one ton of steel from country B. Later the arrangement changes to four barrels of oil for one ton of steel. This indicates that:
a. the terms of trade for country B have improved. b. country A has a comparative advantage in the production of steel. c. the relative price of steel in terms of oil has fallen. d. the terms of trade for country A have improved. e. country B has an absolute advantage in the production of oil.
A shift of a demand curve to the right, all other things unchanged, will:
A) increase equilibrium price and quantity. B) decrease equilibrium price and quantity. C) decrease quantity and increase price. D) increase quantity and decrease price.
Suppose there are 100 consumers with identical individual demand curves. When the price of a movie ticket is $8, the quantity demanded for each person is 5. When the price is $4, the quantity demanded for each person is 9. Assuming the law of demand holds, which of the following choices is the most likely quantity demanded in the market when the price is $6?
A. 700 B. 1,200 C. 400 D. 1,000
The seasonally adjusted unemployment rate
A. reports only seasonal unemployment. B. is impossible to compute since no one knows what the seasonal component equals. C. is another name for structural unemployment. D. removes the seasonal variation from the unemployment rate.