When making the decision to invest, the evaluation of the expected flow of future productive services that the investment project being considered will yield is an important consideration. This statement is accurate for
A. firms and households, but not for governments considering an investment project.
B. firms, but not for governments and households considering an investment project.
C. firms and governments, but not for households considering an investment project.
D. firms, households, and governments.
Answer: D
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The economy pictured in the figure has a(n) ________ gap with a short-run equilibrium combination of inflation and output indicated by point ________. 
A. recessionary; A B. recessionary; C C. recessionary; B D. expansionary; A
An example of a leading variable in the US is
A) GDP. B) investment is structures. C) the consumer price index. D) housing starts.
A positive effect of opening up countries to international trade is that it results in the creation of supporting industries that provide resources to the industry in which trade takes place
a. True b. False Indicate whether the statement is true or false
The increase in the demand for widgets, shown in the figure above, is the result of a decrease in the price of McBoover devices from $11 to $9. Therefore, the cross-price elasticity for these two products is
A) -2.0. B) -0.5. C) 0.5. D) 2.0.