If a household experiences a $880 increase in consumption with a $1,100 increase in disposable income, what is the slope of that household's saving function?
a. 0.20
b. 2.0
c. 0.80
d. 0.08
e. 0.25
a
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Monetary policy has a ________ effect on aggregate demand in a(n) ________ economy, and fiscal policy has a ________ effect on aggregate demand in a(n) ________ economy
A) stronger; closed; weaker; open B) stronger; open; weaker; open C) weaker; open; weaker; open D) weaker; closed; weaker; closed
The "independence of irrelevant alternatives" criterion is also known as the:
A. third-party problem. B. swing-vote problem. C. majority options problem. D. misalignment problem.
The responsibility for monetary policy in the United States lies with
A. the president. B. the presidents of the Federal Reserve Banks. C. the chairman of the Board of Governors of the Federal Reserve System. D. the Board of Governors of the Federal Reserve System.
Suppose Country A, a labor-abundant country, produces only wheat and cloth. The following equations illustrate the prices and costs of wheat and cloth in the country. The numbers indicate the amounts of labor and land needed to produce a unit of wheat and cloth. 'W' is the wage rate and 'r' is the rental rate of land.Price of wheat = 1w + 2rPrice of cloth = 2w + 1rIf the initial prices of wheat and cloth are $3 per unit, the labor cost per unit of wheat output is ________ and the rental cost per unit of wheat output is
A. $1; $2. B. $2; $1. C. $2; $3. D. $3; $2.