A consumer maximizes utility when she consumes at a point where?
A. ?the marginal utility of each good is the same.
B. ?the marginal utility per dollar spent on each good is the same.
C. ?the price of each good is the same.
D. ?All of the above statements are true.
Ans: B. ?the marginal utility per dollar spent on each good is the same.
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Which statement is false?
A. Before the Civil War about three quarters of the farms of over 500 acres were located in the South. B. The great abundance of land was the most influential factor in the United States' economic development during the 19th century. C. Although the percentage of Americans living on farms has declined substantially over the last 70 years, the actual number of people living on farms has remained constant. D. None of the statements are false.
________ are one source of involuntary unemployment during recessions
A) Downwardly rigid wages B) Lower corporate tax rates C) Flexible wages D) Higher income tax rates
If the market demand for oranges is relatively inelastic with respect to price, orange consumers
A) pay no attention to price in their purchasing decisions. B) will buy fewer oranges at any higher price and will spend less money on oranges. C) will buy fewer oranges at any higher price but will spend more money on oranges. D) will buy more oranges at any higher price. E) will buy more oranges only if their incomes increase.
The clearest trade-off between unemployment and inflation occurred between 1960 and 1969
Indicate whether the statement is true or false