Which of the following statements concerning economic models is FALSE?
A) Economic models must provide usable predictions.
B) Economic models are based on data alone and no assumptions.
C) Economic models are tested empirically.
D) Economic models relate to how people behave.
Answer: B
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Economists generally advocate for the complete elimination of pollution
Indicate whether the statement is true or false
If a household's income falls from $20,000 to $17,000 and its consumption spending falls from $18,000 to $15,000, then its: a. marginal propensity to consume is ?0.67. b. marginal propensity to consume is 0.88. c. marginal propensity to consume is 0.20. d. marginal propensity to save is 0
e. marginal propensity to save is 0.12.
What does the word “real” mean in the phrase “real output of goods and services per capita”?
a. compared to projections b. not intellectual property c. indexed for inflation d. checked for mistakes
Which of the following is true of capital markets during the 1980s?
A. The majority of financial capital was locally generated. B. The mortgages available to buy a house were mostly from abroad. C. The capital markets were more profitable as compared to the 1990s. D. The capital-gains tax was at an all-time low of 10%.