Which of the following is not a type of leakage from the circular flow of income?
a. saving.
b. imports.
c. investment.
d. taxes.
c. investment.
You might also like to view...
Which of the following financial institutions does NOT have to meet minimum reserve ratios?
i. the Fed ii. commercial banks iii. credit unions A) i only B) ii only C) iii only D) ii and iii E) i, ii, and iii
A solution to the budget-gaming problem is
a. Remove all kinks from the compensation schedule b. Use a straight line pay for performance function c. Do not base compensation on meeting a particular budget goal d. All of the above
Economists proclaim that competitive firms make zero economic profit in the long run. This shows how
A) detached economists are from the real world. B) unrealistic economic theory is. C) firms cover all their cost, both monetary and non-monetary. D) firms cover only monetary cost when economic profits are zero.
Which of the following statements is true?
A. The long-run potential of the economy declines as output per worker falls during a recession. B. The long-run potential of the economy increases as output per worker rises during an expansion, but the long-run potential of the economy doesn't change as output per worker falls during a recession. C. The long-run potential of the economy increases as output per worker rises during an expansion. D. Changes in output per worker over the business cycle have nothing to do with the long-run potential of the economy.