In calculating the GDP, national income accountants:
A. treat inventory changes as an adjustment to personal consumption expenditures.
B. ignore inventories because they do not represent final goods.
C. subtract increases in inventories or add decreases in inventories.
D. add increases in inventories or subtract decreases in inventories.
Answer: D. add increases in inventories or subtract decreases in inventories.
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If the demand for steak shifts to the left, a likely reason is that
A. the price of cattle feed has risen. B. the price of pork has fallen. C. the price of steak has fallen. D. cattle production has fallen.
Lizzie's budget line is shown in the figure above. The slope of the budget line is ________ cookies per magazine
A) 2 B) -2 C) 0.5 D) -0.5
Displayed below is the payoff matrix of firm A for four different strategies, A1, A2, A3, and A4, and the potential retaliatory responses of firm B (B1, B2, B3, B4).Table 12-1 ? B1 B2 B3 B4 A1 100 50 25 10 A2 10 60 150 200 A3 50 75 200 250 A4 30 50 100 150 If firm A uses the maximin criterion, which strategy will it choose? ?
A. A1 B. A2 C. A3 D. A4
The group of economists who believed that the macroeconomy worked very well on its own were
a. microeconomists b. macroeconomists c. classical economists d. Keynesian economists e. Marxist economists