Suppose two successive levels of disposable personal income are $16 and $21 billion, respectively, and the change in consumption spending between these two levels of disposable personal income is $2 billion, then the MPC will be equal to _____
a. 0.12
b. 0.8
c. 0.7
d. 0.4
e. 0.04
d
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A large airline calculates that the additional cost of a having a passenger on a flight to the Bahamas as the cost of a bag of peanuts and a soft drink, which totals $1.50, but the airline’s price is $600 for potential customers who want to buy vacant seats on the day of the flight. Which economic principle is this airline failing to utilize?
What will be an ideal response?
Given that the demand for unskilled labor curve is downward-sloping, an unintended effect of raising the minimum wage is that some people who worked at the lower wage will lose their jobs at the higher wage
Indicate whether the statement is true or false
U.S. exports:
A. have tended to decrease over time as a percentage of GDP. B. constitute a relatively low share of GDP compared to most other nations. C. make up about 12% of GDP. D. Both A and B are true.
Which of the following is credited with making the greatest contribution to economic growth over time for the United States?
A. Improved management techniques. B. Investment in capital. C. Research and development. D. Increased education.