If a country’s workers can produce 10 hamburgers per hour or 5 bags of French fries per hour. If there is no trade, the price of 1 bag of fries is 2 hamburgers.
Answer the following statement true (T) or false (F)
True
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The Gini coefficients for land ownership inequality are often substantially higher than the Ginis for household incomes in low income countries
Indicate whether the statement is true or false
Which of the following about inflation is true?
a. High and variable rates of inflation will be easy for decision makers to forecast accurately. b. Unanticipated inflation is an increase in the general level of prices that was not expected by most decision makers. c. In contrast with unanticipated inflation, anticipated inflation implies that the increase in the general level of prices was expected by borrowers but not lenders. d. Inflation will increase the prices of goods and services that households purchase but not the wage rates of workers.
If the prices of all goods and services rise during the year,
A. real GDP may fall. B. nominal GDP must rise. C. nominal GDP may increase. D. real GDP must rise.
If a positive externality were present in a market, the social benefit curve would be:
A. the same as the private demand curve. B. above the private demand curve. C. below the private demand curve. D. Cannot say without more information.