If a good is normal, then the income effect is _____ for a price increase and _____ for a price decrease.
A. positive; negative
B. positive; positive
C. negative; negative
D. negative; positive
D. negative; positive
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If stock prices are expected to climb next year, everything else held constant, the ________ curve for bonds shifts ________ and the interest rate ________
A) demand; left; rises B) demand; right; rises C) demand; left; falls D) supply; left; rises
When the nominal exchange rate falls
A) the domestic currency buys more units of foreign currency and the domestic currency has depreciated. B) the domestic currency buys fewer units of foreign currency and the domestic currency has depreciated. C) the domestic currency buys more units of foreign currency and the domestic currency has appreciated. D) the domestic currency buys fewer units of foreign currency and the domestic currency has appreciated.
What are the factors that contribute to productivity growth in the market economy and which of them is considered most important?
What will be an ideal response?
Which of the following measurement issues makes interpretation of U.S. poverty rates difficult?
A. Poverty statistics measure consumption rather than income, and some families may receive income that is above the official poverty line. B. The high cost of living in urban areas tends to result in the understatement of poverty. C. Most people below the poverty line have substantial unreported income. D. The poverty rate is adjusted for every urban and rural area, so people's poverty status changes whenever they move.