Which of the following contributed the most to the economic stability and strong growth of real GDP during the 1980s and 1990s?
a. the rapid growth of government expenditures throughout most of the period
b. congressional policies that persistently balance the budget
c. modifications in fiscal policy that stimulated aggregate demand during economic slowdowns and restrained it during periods of economic boom
d. Federal Reserve policies that kept the inflation rate low and relatively stable
D
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The demand for labor reflects the point that the
A) lower the real wage rate, the greater the quantity of labor demanded. B) higher the real wage rate, the greater the quantity of labor demanded. C) nominal wage rate and not the real wage rate determines the quantity of labor demanded. D) real wage rate does not affect the quantity demanded of labor. E) demand for labor depends on the supply of labor.
Each of the following is an example of discretionary fiscal policy, except
A. public works programs. B. changing tax rates. C. changes in the level of government spending. D. unemployment insurance benefits.
Can ticket “scalping” be justified? Explain using economic analysis
Please provide the best answer for the statement.
Assume an industry, currently dominated by one firm, experiences a large decline in fixed costs. This will
A) make entry of other firms more likely. B) make entry of other firms less likely. C) serve as higher barrier to entry. D) induce the incumbent firm to exit the industry.