Which of the variables does not pass the t-test at the .05 level of significance?
A) PA
B) PB
C) A
D) I
E) All the variables pass the t-test.
B
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The primary deficit is equal to
A) outlays - tax revenues. B) government purchases + transfers + net interest - tax revenues. C) outlays + net interest - tax revenues. D) government purchases + transfers - tax revenues.
Diversification involves:
A. investing all your money in one company. B. buying only one kind of stock. C. buying only low-risk bonds. D. None of these statements is true.
The law of demand states that:
a. as the price of a good increases, more units are demanded. b. there is a direct relationship between the price of a good and the quantity of the good produced. c. there is a negative relationship between the price of a good and the quantity of the good demanded. d. there is an increase in the need for a good as the price of the good increases.
Assume that both the corporate and noncorporate sectors are in long-run equilibrium before the imposition of a corporate profits tax. In the short run, the imposition of a corporate profits tax will
A. not change profits in the corporate sector, but increase profits in the noncorporate sector. B. not change profits in the noncorporate sector, but decrease profits in the corporate sector. C. decrease profits in both the corporate and noncorporate sectors. D. not change profits in either the corporate or the noncorporate sector.