The figure above shows the market for college education in the United States. If the government does not intervene in this market, the deadweight loss equals ________ per year
A) $28 billion
B) $14 billion
C) $280 billion
D) $224 billion
E) $7 billion
B
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Which of the following influences the slope of the LM curve?
A) The interest-sensitivity of money demand B) The interest-sensitivity of investment C) The interest-sensitivity of government spending D) The interest-sensitivity of saving
The Federal Reserve tends to increase the money supply each year
a. True b. False
Which of the following is an argument against balancing the federal budget?
A. Doing so may prevent the government from pulling the economy out of recession. B. An increase in government spending and taxes by the same amount does not affect income. C. The economy will self-adjust so deficit spending is not necessary. D. None of the choices are correct.
There are several reasons why incomes are unequal, including differences in luck, experience, and schooling.
Answer the following statement true (T) or false (F)