Which of the following would not be considered an automatic stabilizer?
A) rising corporate income tax revenues due to an expanding economy
B) increasing food stamp payments due to more people becoming unemployed during a recession
C) legislation increasing funding for job retraining passed during a recession
D) decreasing unemployment insurance payments due to increased employment during an expansion
C
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What criteria should be used in deciding the best definition of the money supply?
What will be an ideal response?
In perfect competition, a profit-maximizing business will expand until its marginal cost equals the market price.
Answer the following statement true (T) or false (F)
The balance of trade is part of the current account which is part of the balance of payments.
Answer the following statement true (T) or false (F)
The Marshall-Lerner condition holds that a country's current account balance will ________ in response to a real ________ in a nation's currency if ________
A) improve; depreciation; sum of the price elasticities of export and import demand exceeds 1 B) worsen; depreciation; sum of the price elasticities of export and import demand exceeds 1 C) improve; appreciation; sum of the price elasticities of export and import demand exceeds 1 D) improve; appreciation; sum of the price elasticities of export and import demand exceeds 0 E) worsen; depreciation; sum of the price elasticities of export and import demand exceeds 0