The paradox of thrift says that the more people try to save, the more
a. income rises, causing saving to rise more than intended
b. consumption falls, causing saving to rise by more than intended
c. consumption rises, causing saving to fall
d. income falls, causing saving to remain unchanged or even fall
e. income rises, causing saving to fall
D
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If the long-run average total cost curve for a firm is horizontal in a relevant range of production, then it indicates that there
A. are diseconomies of scale. B. are economies of scale. C. isn't a minimum efficiency scale. D. are constant returns to scale.
The predictions of marginal utility theory
A) contradict the idea that the demand curve slopes downward. B) support the idea that the demand curve slopes downward. C) support the idea that the supply curve slopes upward. D) contradict the idea that the supply curve slopes upward.
Refer to Table 10-2. Using the table above, what is the approximate growth rate of real GDP from 2014 to 2015?
A) 1% B) 2% C) 3% D) 4%
Suppose the Federal Reserve releases a policy statement today which leads people to believe that the Fed will be enacting expansionary monetary policy in the near future
Everything else held constant, the release of this statement would immediately cause the demand for U.S. assets to ________ and the U.S. dollar to ________. A) increase; appreciate B) decrease; appreciate C) increase; depreciate D) decrease; depreciate