Suppose the economy is initially in the steady state. A reduction in the depreciation rate (?) will cause
A) an increase in K/N.
B) an increase in Y/N.
C) an increase in C/N.
D) all of the above
E) none of the above
D
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The economic effects of a quota are identical to those of a tariff
a. True b. False Indicate whether the statement is true or false
Suppose a legislature passes a law that mandates a 50% cut in toxic emissions. What type of analysis would most likely be used to determine how to implement this policy at the lowest cost?
a. Contingent valuation b. Cost-effectiveness analysis c. Positional analysis d. Precautionary principle e. Safe minimum standard
Autonomous expenditure is not influenced by
a) the price level b) the interest rate c) real GDP d) any other variable
An inside lag is the time period it takes for the stabilization policies to take effect after they have been implemented.
Answer the following statement true (T) or false (F)