If an economy produces 3,000 units of output with a price level of $2 and the money supply (M) is $2,000, velocity is:
A. 2.
B. 3.
C. 150.
D. 67.
Answer: B
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A new chain-weighted measure of real GDP
a. was introduced by the Bureau of Economic Analysis in 1995. b. uses the average of prices in a given year and prices in the previous year instead of using prices in a base year as weights. c. differs greatly from previous measures that utilized the base year method. d. Both a and b e. All of the above
If people posing as a vacationers were able to purchase large numbers of airline tickets from the airlines and later resell them to business travelers
A) group price discrimination on the part of airlines would no longer be profitable. B) group price discrimination on the part of airlines would no longer be profit maximizing. C) the airlines would respond by raising further the price charged to business flyers. D) the people reselling would not earn any economic profit.
The increase in a firm's total revenues resulting from hiring an additional unit of labor is known as the marginal:
a. product. b. revenue product. c. cost. d. none of these.
The passage of the Employment Act of 1946 assigned: a. the federal government the responsibility for promoting full employment and price stability
b. the federal government the responsibility for promoting free markets to achieve economic prosperity. c. the federal government the responsibility to set a minimum wage for all agricultural workers. d. state governments the responsibility to set a minimum wage for all industrial workers. e. state governments the responsibility for promoting full employment and price stability.