According to the classical dichotomy, when the money supply doubles, which of the following also doubles?
a. the price level
b. nominal wages
c. nominal GDP
d. All of the above are correct.
d
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Each month the CPI is calculated by
A) recording the new prices and making no other calculation. B) multiplying the current cost of the CPI market basket by the base period cost and then dividing by 100. C) subtracting the base period cost of the CPI market basket from the current cost and then dividing by 100. D) dividing the current cost of the CPI market basket by the base period cost and then multiplying by 100. E) subtracting the current period cost of the CPI market basket from the base period cost and then multiplying by 100.
Refer to Figure 3-4. If the current market price is $25, the market will achieve equilibrium by
A) a price decrease, decreasing the supply and increasing the demand. B) a price increase, increasing the quantity supplied and decreasing the quantity demanded. C) a price decrease, decreasing the quantity supplied and increasing the quantity demanded. D) a price increase, increasing the supply and decreasing the demand.
Special interests influence tax policy at all levels of government, but ______
a. they are most effective at the local level b. they are most effective at the state level c. they are most effective at the federal level d. they are equally effective at all levels of government
State enforcement of OSHA requirements appears to have been more effective than federal enforcement
Indicate whether the statement is true or false