As real Gross Domestic Product (GDP) decreases, people hold
A) about the same amount of money since that has been enough in the past.
B) less money because they will want to collect interest.
C) more money because they will want to increase the amount of savings.
D) less money since they will make fewer purchases.
D
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In the figure above, if the minimum wage is $4 per hour, then
A) the quantity of labor supplied is less than the quantity of labor demanded. B) the quantity of labor supplied is 4 million hours and the quantity of labor demanded is 2 million hours. C) unemployment is 1 million hours. D) the quantity of labor supplied is 3 million hours and the quantity of labor demanded is 3 million hours.
__________ the required reserve ratio will __________ the potential for multiple expansion
A) Raising; increase B) Lowering; decrease C) Raising; decrease D) None of the above.
In 2011, the U.S. federal government collected approximately what percentage of the taxes in the economy?
a. 10% b. 40% c. 50% d. 67%
Refer to Exhibit 10-8. The marginal propensity to save (MPS) is
a. 4.00. b. 0.25. c. 0.10. d. 0.90. e. 0.75.