The federal government's fiscal policy (taxing and spending policy) during the 1920s was one in which
(a) the federal budget was in surplus every year.
(b) the federal budget exerted a mildly deflationary impact on the economy,
tending to slow overall spending in the economy.
(c) Parkinson's third law, "expenditures rise to meet income,"
seemed to hold for the federal government.
(d) all of the above applied.
(d)
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When the unemployment rate is less than the natural unemployment rate, real GDP is ________ potential GDP
A) greater than B) unrelated to C) not comparable to D) equal to E) less than
Which of the following statements about resource allocation is correct?
a. Within a firm, resources are allocated by prices; in the market, resources are allocated by the decisions of managers. b. Resources are allocated by prices both in the market and within the firm. c. Within a firm, resources are allocated by the decisions of managers; in the market, resources are allocated by prices. d. Resources are allocated by the decisions of managers both within the firm and in the market. e. In the market, resources are allocated either by prices or by the decisions of managers.
Differences in human capital are likely to
a. be unrelated to wage rate differences across gender classifications, since both men and women are required to complete requirements for a high school diploma. b. be most helpful in explaining age discrimination, but unhelpful in explaining race discrimination. c. explain some of the differences in average wage rates across age classifications. d. explain all of the differences in average wage rates across gender classifications.
The country of Northland produced $1,000 billion of output in one year. The population of Northland was 50 million, of whom 30 million were employed. What was average labor productivity in Northland?
A. $33,333 B. $20 C. $20,000 D. $33