The budget deficit or surplus in any given year, adjusted for what it would have been if the economy were producing at potential GDP, is called
a. an automatic stabilizer.
b. a discretionary fiscal policy.
c. a standardized employment budget.
d. a countercyclical employment budget.
c. a standardized employment budget.
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"Stranded costs" complicated restructuring in the electricity industry
Indicate whether the statement is true or false
Which antitrust law is sometimes called the "Chain Store Act"?
A) Sherman Act B) Clayton Act C) Robinson-Patman Act D) Federal Trade Act
The NAIRU:
A. is difficult to measure. B. can change over time. C. occurs at the economy's level of potential output. D. All of these statements are true.
If Ana devotes all her time to making fudge, she can make 3 pounds of fudge an hour, and if she devotes all her time to making toffee, she can make 2 pounds of toffee an hour. If Leo devotes all his time to making fudge, he can make 4 pounds of fudge an hour, and if he devotes all his time to making toffee, he can make 5 pounds of toffee an hour. Suppose that Ana and Leo decide to work together as a team. Can they produce 2 pounds of fudge and 4.5 pounds of toffee each hour?
A. No, this point is not attainable. B. Yes, this point is both attainable and efficient. C. Yes, this point is attainable, but inefficient. D. No, this point is not attainable and inefficient.