If an increase in aggregate expenditures results in no increase in real GDP, we can surmise that the:
A. economy is in a deep recession.
B. MPC equals 1.
C. economy is already operating at full employment.
D. price level has fallen.
C. economy is already operating at full employment.
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Which auctioned good is more likely to have different private values across potential bidders?
A) a truckload of sand B) a Monet painting C) a brand new car D) a gold bar
Which of the following occurs when all the resources of an economy are fully employed?
a. efficiency wage model b. frictional unemployment c. natural rate of unemployment d. potential output
Since 1950, the average length of a recession in the United States has been
A) such that recessions barely exist. B) less than a year. C) between 1 and 2 years. D) greater than 2 years.
Oil is considered:
A. a renewable resource. B. a nonrenewable resource. C. physical capital. D. technology.