A $100 increase in both government expenditure and taxes will
a. cancel each other out so that the equilibrium level of output will remain unchanged
b. lead to a $100 decrease in the equilibrium level of output
c. lead to a $100 increase in the equilibrium level of output
d. lead to a greater than $100 increase in the equilibrium level of output
e. lead to a less than $100 increase in the equilibrium level of output
C
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The most important factor in the demise of the debt peonage in the post-Civil War South was:
a. the impact of the boll weevil. b. improved roads. c. the automobile. d. increased urbanization and industrialization.
The most important automatic stabilizer is: a. open market operations
b. the unemployment compensation system. c. the tax system. d. the welfare system.
Individuals and government have been contributors in harming the environment
a. True b. False Indicate whether the statement is true or false
Firms that are earning zero economic profits are
A. shutting down in the short run. B. breaking even. C. earning less than a normal rate of return. D. shutting down in the long run.