How does the existence of money affect economic growth?
What will be an ideal response?
It reduces transactions costs and other efficiencies of barter. People can specialize, becoming far more productive than if they tried to produce all goods and services they consumer themselves.
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Net exports equals
A) exports of goods and services minus imports of goods and services. B) imports of goods and services minus exports of goods and services. C) the government sector balance plus the private sector balance. D) Both answers A and C are correct.
Compared to corporations, businesses that are proprietorships
A) are far more numerous. B) account for a larger percentage of the economy's total revenue each year. C) can raise capital more cheaply. D) All of the above are correct answers.
Over the range of output for which the marginal product of labor curve is negatively sloped, the marginal cost curve is negatively sloped
Indicate whether the statement is true or false
If employees lose jobs because their skills are obsolete, or their company has moved to another location, this is called:
a. frictional unemployment b. cyclical unemployment c. structural unemployment d. seasonal unemployment