Europe and Asia both fall into deep economic recessions. What impact will this have on U.S. aggregate demand
A) None. A nation’s aggregate demand is only a3ected by its own economic conditions.
B) U.S. aggregate demand will remain unchanged.
C) U.S. aggregate demand will decrease.
D) The U.S. aggregate demand curve will shi) to the right.
Ans: C) U.S. aggregate demand will decrease.
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Which of the following summarizes the information provided by a Lorenz curve?
A) the Gini coefficient B) the slope (the rise divided by the run) of the Lorenz curve at a particular point on the curve C) the income distribution ratio D) the Lorenz coefficient
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Exhibit 30-4
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One way a government might protect monopoly rights is by:
A. granting a patent. B. heavily taxing alcohol and cigarettes. C. running unsubsidized state-owned enterprises that compete with private firms. D. All of these are ways the government protects monopoly rights.
Classical economists are more likely than Keynesian economists to focus more on _____
Fill in the blank(s) with the appropriate word(s).