If the economy suffers a recession for reasons unrelated to fiscal policy, the deficit should rise and
A. inflation should fall.
B. interest rates should fall.
C. real GDP should fall.
D. all of the above are correct.
Answer: D
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Most economic graphs have two lines perpendicular to each other. Where these lines meet is called the
A) origin. B) y-axis. C) x-axis. D) variable. E) point of beginning.
In 2002, the United States contained around _____ governmental units at all levels
a. ninety thousand b. twelve thousand c. fifty d. five hundred and thirty-five
Consider the production possibilities frontier displayed in the figure shown. If this society chooses to produce 15 watermelons in can produce no more than:
A. 400 bushels of apples.
B. 300 bushels of apples.
C. 200 bushels of apples.
D. 100 bushels of apples.
Compared to low-income families, upper-income families are likely to
a. be larger in size. b. be headed by an adult of prime working age (between 35 years and 64 years). c. have more than one family member working. d. be all of the above.