Higher taxes affect real GDP indirectly through both the consumption channel and the output supply channel
a. True
b. False
Indicate whether the statement is true or false
True
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Comparable worth advocates have proposed that employers be required by law to pay wage rates equal to the value of the job. The most telling objection to this proposal is that
A) employers will probably resist strenuously and successfully. B) it is in the interest of employers to adjust their hiring so as to make the value of the job equal to the wage rate that must be paid. C) the government has no legal authority to set wage rates in the private sector. D) this would leave little or nothing for profits.
A standardized good or service is one:
A. for which any two units of it have the same features and are interchangeable. B. for which any two units of it have similar features that could be considered close substitutes. C. for which any two units of it have different, unique features. D. that has very distinguishable characteristics, with each unit being economically unique.
Third parties can be unintentionally affected by the market activity of others
Indicate whether the statement is true or false
If in some year gross investment was $120 billion and net investment was $65 billion, then in that year the country's capital stock:
a) may have either increased or decreased. b) increased by $65 billion. c) increased by $55 billion. d) decrease