If incomes in the United States increase, other things equal, then U.S.
What will be an ideal response?
imports increase and exports remain constant
"An increase in real disposable income will increase imports, but it will not affect exports. Net exports equal the value of exports minus the value of imports"
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Your grandfather tells you that he earned $7,000/year in his first job in 1961. You earn $35,000/year in your first job in 2016. You know that average prices have risen steadily since 1961. You earn
A) more than 5 times as much as your grandfather in terms of real income. B) less than 5 times as much as your grandfather in terms of real income. C) less than 5 times as much as your grandfather in terms of nominal income. D) 5 times as much as your grandfather in terms of real income.
Legally speaking, the geographic concentration of slavery in the southern part of the U.S. is explained by all of the following except:
a. provisions in the Northwest Land Ordinance of 1787. b. plantations employing high slave labor were present in Southern states. c. laws allowing for gradual emancipation in some northern states. d. an amendment to the U.S. Constitution that allowed importation of slaves only through the port of Charleston after 1800.
Answer the following statements true (T) or false (F)
1. Inventory depletion can lead to increased production. 2. During the expansion phase of the business cycle, profit margins increase due to a widening cost-price relationship. 3. Population growth and wars are examples of external forces affecting the economy’s cyclical movements. 4. As the economy moves into the trough of the business cycle, there is a sizable reduction in the output of capital goods. 5. The roughly coincident indicators have their upward and downward turning points prior to the upward and downward turning points of real GDP.
The smaller the price elasticity of demand, the
a. steeper the demand curve will be through a given point. b. flatter the demand curve will be through a given point. c. more strongly buyers respond to a change in price between any two prices P1 and P2. d. smaller the decrease in equilibrium price when the supply curve shifts rightward from S1 to S2.