An increase in aggregate demand will cause:
a. real domestic output to fall and have no effect on the price level
b. The price level to increase and real domestic output to rise
c. The price level to drop and have no effect on real domestic output
d. Both real output and the price level to fall
b. The price level to increase and real domestic output to rise
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Which of the following would cause a positive change in quantity demanded?
a. A rise in supply. b. A fall in supply. c. A rise in demand. d. A fall in demand.
The number of adults not in the work force of a country equals 6 million and the number of individuals employed is 5 million. If there are 12 million potential adult workers in the economy, what is the current unemployment rate in this country?
A) 21 percent B) 16.67 percent C) 30.55 percent D) 12.45 percent
Refer to Figure 2-4. Consider the following events:
a. an increase in the patent protection period to 75 years b. a hurricane that destroys a substantial portion of a nation's capital stock c. the implementation of a secure and enforceable property rights system Which of the events listed above could cause a movement from W to Z? A) a only B) a and b only C) a and c only D) b and c only E) a, b, and c
The second largest source of tax revenue for the federal government is
a. payroll taxes b. the personal income tax c. the corporate income tax d. excise taxes e. the sales tax