Which of the following is the best indication that the government is pursuing restrictive fiscal policy?
A. The cyclical deficit increases.
B. The total deficit increases.
C. The structural deficit increases.
D. The structural deficit decreases.
Answer: D
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The flawed character cause of poverty refers to individual defects in aspiration or ability
Indicate whether the statement is true or false
A managed float
a. is an attempt to maintain a stable exchange rate b. is invariably unsuccessful c. is invariably successful d. is an attempt to let the price level float upward e. is an attempt to get the interest rate to float upward
Which of the following statements is true with respect to nonrenewable natural resources?
a. With proper management, more natural resources can be created. b. The economy will never run out of the resource since it can always find new supplies as the price rises. c. Economists can predict with reasonable accuracy when the supply will be depleted. d. Before the last unit is taken from the earth, the economy is likely to already have abandoned it and switched to another. e. Water is an example of a nonrenewable natural resource.
A large factory pours its toxic wastewater into a nearby river, and as a result, the residents of a downstream community experience high rates of illness and birth defects. The economic problem illustrated by this example is
A. marginal thinking. B. comparative advantage. C. repealing the laws of supply and demand. D. externalities. E. productivity growth.