Why is the U.S. trade deficit almost always larger than the U.S. current account deficit?
What will be an ideal response?
The U.S. trade deficit is almost always larger than the U.S. current account deficit because the United States usually runs a surplus on the balance of services.
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All else equal, when oil prices decrease, some economical sources of oil tend to become less economical, and this will ________ proven reserves of oil and ________ the number of years it will take to deplete the stock of oil
A) increase; increase B) increase; decrease C) decrease; increase D) decrease; decrease
Cross elasticity of demand could be used to measure the responsiveness of the quantity demanded of swimming pools to a change in the price of picnic tables.
Answer the following statement true (T) or false (F)
Ricardian view on debt is that the form of government finance is irrelevant.
A. True B. False C. Uncertain
If the short-run aggregate supply curve is shifting down repeatedly, it is rather likely that ________
A) output is declining repeatedly, relative to potential output B) the long-run aggregate supply curve is shifting to the left C) negative price shocks are recurring D) all of the above E) none of the above