If the multiplier is 4 and the desired increase in real GDP is $200 billion, the initial change in spending required to achieve that goal:
A. is $200 billion.
B. is $800 billion.
C. is $50 billion.
D. cannot be determined.
Answer: C
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A firm has fixed costs
A) in the short run and in the long run. B) in the short run but not in the long run. C) in the long run but not in the short run. D) neither in the long run nor in the short run.
How is the equilibrium exchange rate determined?
What will be an ideal response?
Superstar actors typically get contracts that specify that they get a percentage of "the gross," the total revenues that the movie brings in
Why might actors want contracts structured that way? Why might producers be willing to agree to that, and how does this make the goals of actors and producers different?
Repeated hurricanes in Florida have caused some retirees to choose to retire to Arizona instead. Based on this information, retirement housing in Florida and that in Arizona are what kinds of goods?
A. Florida housing has become a luxury good, and Arizona housing had been an inferior good. B. Florida housing and Arizona housing are complementary goods. C. Florida housing has become an inferior good, and Arizona housing had been a luxury good. D. Florida housing and Arizona housing are substitutes.