Investment spending might be larger when GDP is higher. Such added investment as GDP rises is called
a. mutual investment.
b. induced investment.
c. positive investment.
d. net investment.
b
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In the table above, y is measured along the y-axis and x along the x-axis. What is the value of the slope between the x = 8 and x = 6?
A) -0.057 B) -19.28 C) -35 D) 70
Keynes believed
A. recessions were temporary. B. budget deficits were to be avoided at all costs. C. any kind of spending was necessary to get us out of a depression. D. both wages and prices were downwardly flexible.
Since the cross elasticity of demand between hamburger patties and cheese is negative, these are ________ goods.
A. complementary B. substitutable C. normal D. both complementary and substitutable
The reason that the local telephone company is able to engage in price discrimination between business and residential customers in providing local phone service is that:
A. it is the only provider of local (landline) telephone service. B. it must be extremely difficult, if not impossible, for one consumer to resell phone service to another. C. business and residential customers differ in their willingness to pay for phone service. D. All of these are correct.