In the standard consumption function of C = a + bY, a change in corporate stock prices would be reflected by a change in
A) Y.
B) b.
C) a.
D) both A and B.
C
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Laura is a manager for HP. When Laura must decide whether to produce a few additional printers, she is choosing at the margin when she compares
A) the total revenue from sales of printers to the total cost of producing all the printers. B) the extra revenue from selling a few additional printers to the extra costs of producing the printers. C) the extra revenue from selling a few additional printers to the average cost of producing the additional printers. D) HP's printers to printers from competing companies, such as Lexmark.
With a flexible exchange rate system, to gain credibility with investors or savers, a nation will often:
A) adopt a nominal anchor to keep currency growth in line with a measurable indicator, such as exchange rates or inflation rates. B) limit the power of the central bank by having elected officials set monetary targets. C) give more power to the prime minister to stop inflation and lower unemployment. D) temporarily adopt a gold standard.
Automatic stabilizers cause an increase in total revenue for the government as the economy enters a recession.
Answer the following statement true (T) or false (F)
Refer to the information provided in Figure 13.1 below to answer the question that follows.
Figure 13.1Refer to Figure 13.1. The demand curve for insulin is most likely represented by
A. Panel A. B. Panel B. C. Panel C. D. Panel D.