Which of the following statements is true about falling birthrates?
A. They tend to lag behind falling death rates, allowing population growth to continue for at
least one or two more generations.
B. They tend to precede declines in death rates, causing a temporary dip in population before
it stabilizes in a generation or two.
C. They tend to lag behind declining standards of living.
D. They always cause population to decline.
Answer: A
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Oligopolists may well be able to reach their preferred, cooperative outcome if
a. the number of oligopolists is large. b. they learn that a Nash equilibrium is in their best long-term interests. c. a sufficient number of firms can be persuaded to lower their prices. d. the game they play is repeated a sufficient number of times.
In 2013, ABC Corporation had total earnings of $200 million and 40 million shares of the corporation's stock were outstanding. If the price-earnings ratio for ABC is 20, then what is the price of a share of its stock?
a. $5 b. $10 c. $80 d. $100
The short-run aggregate supply curve is most likely to shift down (to the right) when actual output is:
A. not equal to potential output, regardless of whether it is above or below. B. less than potential output. C. equal to potential output. D. greater than potential output.
In the traditional Keynesian model, if the government increases spending, then
A. real Gross Domestic Product (GDP) will rise and the price level will remain constant. B. real Gross Domestic Product (GDP) will remain constant and the price level will rise. C. both real Gross Domestic Product (GDP) and the price level will decrease. D. real Gross Domestic Product (GDP) will increase and the price level will fall.