During the Great Depression of the 1930s when the unemployment rate was exceptionally high due to the Great? Depression, the government had employment? programs, such as the Civilian Conservation? Corps, which built campsites and planted trees. These programs were aimed at reducing which type of? unemployment?
A) cyclical
B) avoidable
C) structural
D) frictional
E) discouraged
Answer: A) cyclical
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Economists Eichengreen and Hausmann coined the phrase original sin to describe developing countries inability to borrow in their own currencies. Where do they believe that this inability comes from? What are other beliefs on this topic?
What will be an ideal response?
If individuals save less because inflation lowers returns on savings, this should ________ real interest rates and ________ investment expenditures
A) raise; increase B) raise; reduce C) lower; increase D) lower; reduce
In some cases, tradable pollution permits may be better than a corrective tax because
a. pollution permits allow for a market solution while a corrective tax does not. b. pollution permits generate more revenue for the government than a corrective tax. c. pollution permits are never preferred over a corrective tax. d. the government can set a maximum level of pollution using permits.
A toy manufacturer is experiencing quality problems on its assembly line. Every defective toy that leaves the factory costs the firm $20. The firm has decided to hire quality inspectors to catch defective toys before they leave the factory.Given the above information, if the cost of each defective toy rises to $50, while inspectors are paid $150 a day, how many inspectors should the firm hire?
A. 3 B. 4 C. 5 D. 6