An increase in unplanned inventory investment for the entire economy equals the excess of
A) output over aggregate supply.
B) output over aggregate demand.
C) aggregate supply over output.
D) aggregate demand over output.
B
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A decrease in a country's capital stock occurs when ________.
A. businesses sell machinery and equipment to one another B. the consumption of fixed capital exceeds gross domestic investment C. the prices of investment goods rise faster than the prices of consumer goods D. businesses have larger inventories at the end of the year than they had at the start
Which of the following is true?
a. With time, most of those with low incomes at a point in time move up the income ladder only to be replaced by others who are youthful, inexperienced, or the victim of current misfortune. b. Recent studies indicate that there is virtually no relationship between the relative income position of grandparents and their grandchildren. c. Both a and b are true. d. Neither a nor b is true.
If the price of Bluetooth headsets rises 12 percent during a year when the level of average prices rises 13 percent, the relative price of Bluetooth headsets
A. Remains constant. B. Decreases. C. Increases. D. More information is required to answer this question.
Assume the market is in equilibrium in the graph shown at demand D and supply S2. If the supply curve shifts to S1, and a new equilibrium is reached, which of the following is true?
A. Producer surplus would decrease, and total surplus would decrease. B. Producer surplus would increase, and total surplus would increase. C. Producer surplus would increase, and total surplus would decrease. D. Producer surplus would decrease, and total surplus would increase.