The main avenue by which a temporary change in government purchases in the classical model affects the labor supply is by
A. affecting the value of the stock market.
B. affecting workers' wealth.
C. increasing business confidence.
D. changing the population.
Answer: B
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One problem associated with a monopoly firm is that it
A) produces too little output but also charges a low price. B) produces too much output and charges too low a price. C) restricts output and charges a relatively higher price than a purely competitive firm. D) is just as good as a purely competitive firm in terms of output and price.
Over the past century, the growth of labor productivity in the United States was highest in the _____
a. 1940s b. 1950s c. 1960s d. 1970s e. 1980s
Keynes argued that the downward slope of the demand for money curve depends on the:
a. equation of exchange. b. rate of interest. c. federal funds rate. d. discount rate.
What's the relationship between total utility (TU) and marginal utility (MU)?
a. MU of a good is the sum of its TU, assuming that TU is positive b. MU is the change in TU divided by the change in quantity c. MU is TU divided by the quantity of goods consumed d. TU of a good is the sum of all changes in the MUs of that good e. MU = TU as long as the change in TU is constant