If the MPC were .75, what change in government spending (in billions of dollars) would be required to cause the equilibrium level of GDP to fall by 100?
A. A decrease of 25.
B. A decrease of 50.
C. A decrease of 75.
D. A decrease of 100.
A. A decrease of 25.
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The statistical details on the U.S. balance of international payments between 1790 and 1860 help economic historians determine
(a) what the U.S. sold domestically. (b) how other countries paid for their own domestic goods and services. (c) how the U.S. paid other countries for their exports. (d) changes in domestic trade patterns.
[Appendix; Advanced Material] If airlines found that the number of no-shows starts to increase, then its policy for optimal overbooking would tend to:
a. make them reduce the amount of overbooking. b. cause them to increase the amount of overbooking. c. let them keep the same amount of overbooking.
When reality show participants travel through foreign countries, they are generating a
A. Supply of U.S. dollars and a demand for a foreign currency. B. Supply of U.S. dollars and a supply of a foreign currency. C. Demand for U.S. dollars and a supply of a foreign currency. D. Demand for U.S. dollars and a demand for a foreign currency.
Which of the following will not cause the demand curve for labor to shift?
A. An increase in the wage rate. B. An increase in the price of the final product. C. An increase in the price of a substitute factor of production. D. A change in demand for the final product.