A decrease in the economy’s capacity utilization rate
a. tends to decrease the unemployment rate.
b. tends to increase the unemployment rate.
c. has no impact on the unemployment rate.
d. tends to have an unpredictable effect on the unemployment rate.
b. tends to increase the unemployment rate.
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Suppose Maria can make 12 pizzas or 4 lasagnas every Saturday afternoon, while Gina can make 10 pizzas or 2 lasagnas every Saturday afternoon. Which statement is true?
A) Maria is the most efficient producer of both pizza and lasagna. B) Gina is the least efficient producer of both pizza and lasagna. C) It costs Maria 3 pizzas to produce 1 lasagna. D) It costs Gina 5 lasagnas to produce 1 pizza. E) All of the above are true.
Government expenditures includes all of the following except
A) federal defense spending. B) federal nondefense spending. C) state and local spending. D) transfers.
Since there are many special interests lobbying in favor of different tax changes but no special interests lobbying in favor of the public interest, this suggests that tax code changes will _____
a. lead towards more regressive taxation b. will favor special interests c. not be in the direction of efficiency d. b and c
American households spend more of their incomes on goods than on services
a. True b. False Indicate whether the statement is true or false