There would be ________ excess burden from a tax if demand were perfectly inelastic.
A. a 100 percent
B. no
C. an evenly shared
D. a negative
Answer: B
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Which combination of factors would most likely increase aggregate demand?
A. An increase in business taxes and a decrease in profit expectations. B. An increase in household indebtedness and a decrease in net exports. C. An increase in net exports and a decrease in government spending. D. An increase in consumer wealth and a decrease in interest rates.
On a typical acre of land, Iowa can produce either 300 pounds of beef or 100 pounds of soybeans in a year. On a typical acre of land, Nebraska can produce 150 pounds of beef or 200 pounds of soybeans. Which of the following is correct?
A) Nebraska should produce soybeans because its opportunity cost of soybeans is lower. B) Iowa should produce soybeans because its opportunity cost of soybeans is higher. C) Iowa should produce soybeans because its opportunity cost of soybeans is lower. D) Nebraska and Iowa should divide each acre evenly between soybean and beef production. E) Nebraska should produce soybeans because its opportunity cost of soybeans is higher.
Which of the following revenue-raising options did the "colonial" government select to secure the resources needed to revolt?
(a) Printing money and borrowing from other countries (b) Printing money and confiscating property (c) Taxing and borrowing from other countries (d) Taxing and reducing non-military government spending
At a given point in time, if the demand for money increases: a. the interest rate will fall
b. there will be a movement downward along the money demand curve. c. there will be a movement upward along the money demand curve. d. there will be a rightward shift of the money demand curve. e. there will be a leftward shift of the money demand curve.