In a world of scarcity, there has to be some way to ration the available resources. According to economists, the most efficient use of available resources occurs when rationing occurs via
A. queuing.
B. rationing.
C. the price system.
D. political power.
Answer: C
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The U.S. Constitution stipulates that when government uses its takings powers to acquire land for a project,
A) the government must own and operate the completed project. B) the government can resell the land to a private developer. C) the government must turn over the land to state or city governments. D) none of the above
What contributed to the United States recession of 2007-2009?
a. High Federal budget deficit b. Deflation in commodity prices and reduction in consumer saving c. Bank failure, panic among investors, and lack of confidence in paper currency d. Stock market collapse, drop in real estate values, and a drop in consumer spending
In 1931, a politician was paid a salary of $75,000. Government statistics show a consumer price index of 15.2 for 1931 and 195 for 2005. The politician’s 1931 salary was equivalent to a 2005 salary of about
a) $962,171 b) 1,125,008 c)1,154,262 d)1,455,995
If banks hold excess reserves whereas before they did not, the money multiplier:
A. will become smaller. B. might increase or might decrease. C. will be unaffected. D. will become larger.