Workers in country A receive an increase in wages of 10 percent at the same time the inflation rate in country A is 8 percent. Workers in country B receive an increase in wages of 3 percent and the inflation rate in country B is 1 percent. In which country are workers better off?
a. Country A because their real wages rise by 18 percent.
b. Country A because their real wages rise by 10 percent.
c. Country B because the inflation rate is lower.
d. Neither country because the increase in real wages is the same.
d
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The gross domestic product of a small country is $4,150,000 and the size of its employed labor force is 5,000. The income per worker of the country is ________
A) $620 B) $213 C) $830 D) $445
Refer to Figure 29-1. Europe experiences an economic boom. Assuming all else remains constant, this would be represented as a movement from
A) D to A. B) C to B. C) B to A. D) D to C.
The illegality of organ sales from willing donors to willing recipients is ineffective because:
a. It encourages organ sales b. It discourages wealth creating transactions through the threat of heavy penalty c. It encourages government intervention d. None of the above
An example of a standardized good is:
A. cereal. B. iron. C. soda. D. pizza.