The term "surplus" refers to a:
A. market that sells secondary goods.
B. situation in which the quantity supplied is less than the quantity demanded.
C. situation in which the quantity demanded is less than the quantity supplied.
D. signal that producers need to increase the price of the good.
Answer: C
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Which of the following can people not get at their commercial banks?
A. certificates of deposit B. money market deposit accounts C. money market mutual funds D. time deposits
The old industrial unions are being supplanted by
A. Private sector unions. B. Unions of service workers. C. Union shops. D. Craft unions.
In an open economy, the source for the demand for loanable funds is
a. national saving. b. national saving + net capital outflow. c. investment d. investment + net capital outflow
?Suppose that government purchases of goods and services increase by $200 and at the same time lump-sum taxes increase by $200. Which of the following is true in this case?
a. The budget deficit will decrease as the economy expands. b. ?There will be no change in the budget deficit. c. ?Whether the budget deficit will increase or decrease will depend on the value of the marginal propensity to consume. d. ?The budget deficit will increase by $200. e. ?The budget deficit will increase by $400.