Growth in GDP systematically understates the growth in national well being because
a. ecological costs are netted out of GDP.
b. "bads" as well as "goods" get included in GDP.
c. investment is not included in GDP.
d. as a country gets richer, leisure time increases.
d
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Competitive markets tend to eliminate economic discrimination, but there are many historical examples of firms that hired few, or no, black or female workers
Which of the following is not a reason for the persistence of this form of discrimination? A) Some white consumers were unwilling to buy from companies that employed black workers. B) If discrimination makes it difficult for a member of a group to be hired in a particular occupation, there is less incentive for members of the group to be trained to enter that occupation. C) Laws passed by the federal government made it more expensive to hire black or female workers. As a result, it was less expensive for employers to hire mostly white male workers. D) In many cases, white workers refused to work with black workers.
The production possibilities curve bows outward because
A) opportunity costs are decreasing as the production of a good increases. B) opportunity costs are increasing as the production of a good increases. C) opportunity costs are fixed as the production of a good increases. D) resources are of uniform quality.
Consider an economy where national income is $7,000 . autonomous consumption is $1,00 . and the MPC = 0.80 . Explain what will happen to national income in the following three cases: Case A: intended investment = $200 Case B: intended investment = $400 Case C: intended investment = $600
If a country's economic growth rate is 4 percent a year, approximately how many years will it take to double its Real GDP?
A) 22.2 B) 25.0 C) 15.6 D) 17.5 E) 8.8