Which of the following would be most likely to improve the standard of living of the residents of a less-developed country?
a. The development of strong labor unions.
b. A sharp increase in the legal minimum wage.
c. An increase in expenditures on education and capital investment.
d. Rapid growth rate of the money supply.
c
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During 2012, a country has consumption expenditures of $3.0 trillion, investment expenditures of $1.5 trillion, government expenditure of $1.5 trillion, exports of $1.0 trillion, and imports of $1.5 trillion
Aggregate expenditure for the country is A) $5.5 trillion. B) $6.5 trillion. C) $6.0 trillion. D) $8.5 trillion. E) $7.0 trillion.
The Todaro model suggests that rural urban migration depends on
a. the gap between rural and urban wages b. the gap between rural and urban wages modified by the likelihood of obtaining a job in the city c. the gap between rural and urban wages modified by the likelihood of having a family member alreadyin the city d. the gap between rural and urban wages modified by government-provided employment possibilities inthe city e. none of the above
A car dealership union negotiates a contract that dramatically increases all salesmen's salaries. If one of the salesman is thinking of changing careers to be a hardware salesman, his opportunity cost
a. would not be affected b. of becoming a hardware salesman would decrease c. of becoming a hardware salesman would increase d. none of the above
The crowding-out effect of higher interest rates can be avoided by
a. expansionary monetary policy. b. expansionary fiscal policy. c. contractionary monetary policy. d. decreasing taxes.