The closer the substitutes for a good, the
A) more elastic is the demand for the good.
B) less elastic is the demand for the good.
C) smaller the degree of substitutability between the goods.
D) larger the proportion of income that is spent on the good.
A
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Which of the following is considered to be a goal of monetary policy?
A) a low federal budget deficit B) fair wages C) price stability D) an end to poverty
A current account deficit suggests that a country is importing more than it is exporting and building up foreign debt.
a. true b. false
What does GDP measure, and what is the formula for calculating GDP using the expenditures approach?
What will be an ideal response?
As a tool that is used to measure inequality in the distribution of income, the Lorenz curve graphs
A) the cumulative percentage of income against the cumulative percentage of households. B) the percentage of total income received by each given percentage of households. C) the mean income, median income, and mode income against the percentage of households. D) the mean income received by households over time.