If Sam has $80.00 each week to spend on tacos and magazines, and their respective prices are $.50 per taco and $4.00 per magazine, which of the following equations represents his budget line?
A) $80.00 = $.50/Qt + $4.00/Qm
B) $80.00 = Qt/Qm + $.50 /$4.00
C) $80.00 = $.50(Qm) + $4.00(Qt)
D) $80.00 = $.50(Qt) + $4.00(Qm)
D
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The multiplier effect following an increase in expenditure is generated by induced increases in consumption expenditure as income rises
Indicate whether the statement is true or false
In Figure 3-7 above, the multiplier for a change in autonomous taxes is
A) 5. B) 4. C) 2.50. D) 1.
According to many economists, as nations become wealthier, what happens to family sizes?
A) They increase. B) They decline. C) There is no effect. D) They increase, but later in life.
A major problem with household data is that:
a. the income of the households vary greatly. b. the households usually vary in their consumption patterns. c. the households usually comprise of only one individual. d. collecting data from the households is highly inconvenient. e. the number of persons per household varies greatly.