Refer to the above figure. If the relevant aggregate demand curve was AD2, the government could do all of the following to close the existing gap EXCEPT
A) increase government spending on roads.
B) reduce marginal tax rates.
C) reduce corporate taxes.
D) reduce defense spending.
D
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Work rules that are designed to protect jobs and maximize employment at any level of output are thought to lower worker productivity.
Answer the following statement true (T) or false (F)
The greatest expansion of the automobile industry occurred in the decade of the ______.
Fill in the blank(s) with the appropriate word(s).
the value of paper used to make books should be added to GDP.
a. true b. false
Adjusting GDP downward for the impact industry has on the environment results in a number that is greatly disputed, but is often referred to as
A. "environment-neutral GDP."
B. "resource-adjusted GDP."
C. "green GDP."
D. "eco-output."