An economy's production function is Y = A , and the economy's total output in equilibrium is $800 billion. Total capital income in this economy is ________
A) $200 billion
B) $25 billion
C) $750 billion
D) $267 billion
E) none of the above
A
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The Q-theory of investment is based on high investments being funded by high stock prices of a company
Indicate whether the statement is true or false
The money prices attached to goods in the economy
A) conceal the fact of their scarcity. B) make the goods artificially scarce. C) provide information about their scarcity. D) reflect the level of greed prevailing in particular markets.
When analyzing stages of economic development in the United States, it appears that we have entered the "tertiary stage." This is a stage marked by a shift toward
A) agriculture. B) manufacturing. C) services. D) population increases.
Productive activity in the underground economy:
a. results in an overstatement of actual income and production in the national accounting system. b. consists of unrecorded cash transactions. c. is estimated and included in the national income accounting system. d. poses no problem for the measurement of gross domestic product. e. does not affect GDP but is included in the value-added computations.