In the steady state, assuming that a constant share of the population is working,
A) both real GDP per worker and real GDP per capita will grow at the same rate.
B) real GDP per worker will grow at a faster rate than real GDP per capita.
C) real GDP per capita will grow at a faster rate than real GDP per worker.
D) both real GDP per worker and real GDP per capita will remain constant.
A
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A decrease in nominal gross domestic product necessarily entails a decrease in
A) both real output and the price level. B) either real output or the price level (or both). C) real output and employment. D) the price level and employment.
If the tax base is narrowed through an increase in exemptions, ______ in order to raise the same level of revenue
a. tax rates must be lowered b. tax rates must be raised c. tax expenditures must be increased d. nothing must happen
In the last few decades there has been little progress in lowering the barriers to international trade.
Answer the following statement true (T) or false (F)
Employment does not fluctuate as much as output over the business cycle.
Answer the following statement true (T) or false (F)