The rate of output at which the price level has no tendency to rise or fall is called the
A) natural rate of output.
B) potential level of income.
C) bliss point.
D) efficient level of output.
A
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The nominal price of milk was $2.25 in 1998 while the CPI was 163.0 that year. Also, the CPI in 1970 was 38.8. What was the real value of 1998 milk in terms of 1970 dollars?
What will be an ideal response?
One consequence of unemployment is that:
A. the time and skills of the unemployed are not being put to use. B. it can create uncertainty about the future. C. some productive potential of the economy is being wasted. D. All of these are consequences of unemployment.
In commercial societies, the plans of tasks and benefits is negotiated by the affected parties primarily
What will be an ideal response?
In the figure above, what would happen to the size of the multiplier if marginal income tax rates were increased?
A) The multiplier would fall in value and might become negative. B) The multiplier would not change in value. C) The multiplier would fall in value but would not become negative. D) The multiplier would rise in value. E) More information is needed to determine the effect on the size of the multiplier.