Both Keynesians and supply-siders believe that tax cuts
a. will increase income by increasing aggregate supply.
b. will increase income by increasing aggregate demand.
c. will increase income but for different reasons.
d. will increase income in the Keynesian model but decrease income in the Supply-side model.
C
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Endogenous growth theory tries to explain why
A) the growth rate of technological change varies across countries. B) capital is not subject to diminishing marginal returns. C) total factor productivity is the only determinant of labor productivity. D) balanced growth occurs in all economies.
When _____, we are at the optimal amount of pollution
a. pollution is at zero b. pollution is equal to the amount produced in an unregulated market c. the total cost of pollution is equal to the total cost of pollution abatement d. the marginal cost of pollution is equal to the marginal cost of pollution abatement
Which of the following will cause the demand curve for gasoline to shift leftward?
a. a decrease in the price of gasoline b. an increase in the price of gasoline c. a leftward shift of the supply of gasoline d. a rightward shift of the supply of cars e. a decrease in the price of bicycles
If the price of coffee increases from $2 per pound to $5 per pound, how does the quantity of coffee supplied by Juan change?
a. It decreases by 30 pounds per year.
b. It decreases by 50 pound per year.
c. It increases by 30 pounds per year.
d. It increases by 50 pounds per year.