A ten-year-old goes to a baseball convention this week and purchases a newly-autographed Barry Bonds baseball for $100. How would this affect GDP?
A) It wouldn't.
B) GDP would increase by $10—reflecting the market price of the ball itself.
C) GDP would increase by $90—reflecting the market price of Bonds' autograph.
D) GDP would increase by $100—reflecting the market price of the autographed ball.
E) GDP would have increased were the autographed ball purchased by somebody 16 years or older.
D
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As a result of the global financial crisis several of the large, free-standing investment banking firms chose to become bank holding companies. This means that they will now be regulated by
A) the Federal Reserve. B) the FDIC. C) the state banking authorities. D) the Treasury.
The United States has not experienced a recession as severe as the 2007-2009 downturn since the 1930s
a. True b. False Indicate whether the statement is true or false
If actual inflation differs from expected inflation, what is the slope of the aggregate supply curve?
a. It is horizontal in the short and long run. b. It is vertical in the short and long run. c. It is vertical in the short run and upward sloping in the long run. d. It is upward sloping in the short run and vertical in the long run.