Corporations account for
A) the largest proportion of business revenues generated in the United States.
B) the largest amount of taxes paid to the U.S. government.
C) the largest number of firms in the United States.
D) the smallest amount of revenues in the United States.
Answer: A
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Which of the following is an example of a physical capital in agricultural production?
A) A common canal B) A farmer C) A road D) A tractor
Consumers who do not consistently discount the future over time behave in a fashion that is most consistent with ________
A) the theory of intertemporal choice B) the Keynesian theory of consumption C) the permanent income hypothesis D) the life-cycle hypothesis
A true cost-of-living adjustment in response to a change in prices would compensate consumers so that they would be able to
A) purchase the same bundle they purchased before prices changed. B) achieve the same level of utility they did before prices changed. C) face the same choices they did before prices changed. D) achieve an increase in utility that is equal to the rate of inflation.
Which of these factors can explain the short recession experienced by the U.S. in 2001?
a. Terrorist attacks b. The stock market crash c. Bursting of the real estate bubble d. A rise in international oil prices e. Expenditure on war