Which of the following pairs of goods is LEAST likely to be a pair of complements?
A) gasoline and vehicles
B) coffee and sugar
C) beer and wine
D) razors and razor blades
C
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An example of a market-facilitating legal practice is
(a) clearly established property rights. (b) corruption of government officials. (c) extensive licensing requirements for starting firms. (d) all of the above. (e) none of the above.
When good weather speeds the check-clearing process, float tends to ________ causing the Fed to initiate defensive open market ________
A) decrease; sales B) decrease; purchases C) increase; sales D) increase; purchases
In the above figure, at the equilibrium level of real GDP, there is
A) positive saving. B) negative saving. C) zero saving. D) a negative tax rate.
Among the following cases, the opportunity cost of crowding out is the smallest when the government spends dollars: a. staffing the Internal Revenue Service hotline
b. printing stationery for new members of Congress. c. placing photographs of the new President in government and diplomatic offices worldwide. d. on Social Security benefits. e. on new interstate highways.