When increased government spending results in decreased consumer or business spending, the government spending is said to be crowding out the consumer and business spending
Indicate whether the statement is true or false
TRUE
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When break-even investment is subtracted from investment per worker, the result is
A) the change in the capital-labor ratio. B) saving. C) the steady state. D) capital stock dilution.
A change in income will
a. affect the demand for candy through the income effect of a price change b. affect the quantity demanded of candy through the income effect of a price change c. shift the demand curve for candy d. have no effect on the demand for candy, because income is assumed constant along a demand curve e. affect quantity demanded only if candy is a normal good
Domestic law and order, the infrastructure, and the climate of international trade are all aspects of a country's:
a. natural resources endowment. b. human resources investment. c. capital investment. d. political environment.
If an economy produces 2,000 units of output with a price level of $2 and the money supply (M) is $1,000, velocity is:
A. 4. B. 500. C. 1. D. 2.