If the Japanese government raised its budget deficit, then the yen would
a. depreciate and Japanese net exports would rise.
b. depreciate and Japanese net exports would fall.
c. appreciate and Japanese net exports would rise.
d. appreciate and Japanese net exports would fall.
d
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The slope of the production possibility frontier shows:
a. the marginal rate of substitution between the two goods. b. the relative marginal costs of the two goods. c. the efficient combination of outputs possible using fixed amounts of input. d. the relative marginal productivities of the two goods.
Which statement is definitely true about shelter in the above below?
A. It has a positively sloped section in its demand curve. B. It is a normal good throughout the range shown. C. It is an inferior good throughout the range shown. D. The income and substitution effects must be shown before any of these statements can be definitely true.
If low-income households spend a larger share of their income on food than do high-income households, then a tax on food is:
A. a way to redistribute from the wealthy to the poor. B. a regressive tax. C. a proportional tax. D. a progressive tax.
During normal times, Fed pushes the federal funds down when it wants to give the economy a boost and
A. pushes it up when it wants to restrain the economy. B. pushes it down when it wants to restrain the economy. C. does not tamper with the federal funds when it wants to restrain the economy. D. None of the above is correct.