The consumer price index is used to monitor changes in an economy's production of goods and services over time
a. True
b. False
Indicate whether the statement is true or false
False
You might also like to view...
Holding everything else constant, an increase in the price of MP3 players will result in
A) a decrease in the demand for MP3 players. B) a decrease in the quantity of MP3 players supplied. C) an increase in the supply of MP3 players. D) a decrease in the quantity of MP3 players demanded.
Assume that the expectation of a recession next year causes business investments and household consumption to fall, as well as the financing to support it. If the nation has low mobility international capital markets and a fixed exchange rate system, what happens to the real risk-free interest rate and the nominal value of the domestic currency in the context of the Three-Sector-Model?
a. The real risk-free interest rate rises and nominal value of the domestic currency falls. b. The real risk-free interest rate falls and nominal value of the domestic currency remains the same. c. The real risk-free interest rate rises and nominal value of the domestic currency remains the same. d. The real risk-free interest rate rises and nominal value of the domestic currency rises. e. There is not enough information to determine what happens to these two macroeconomic variables.
Which of the following is a simplifying assumption associated with the short-run Keynesian model of equilibrium real Gross Domestic Product (GDP) determination?
A. There is no depreciation. B. Businesses pay indirect taxes. C. Gross private domestic investment exceeds net private domestic investment. D. Most business profits are distributed to shareholders.
Union membership, in terms of percentage of the U.S. civilian labor force
A. was over 50 percent in 2020. B. has increased steadily since the passage of the Wagner Act. C. has increased dramatically since 1970. D. peaked about 1960 and has since declined.