There is a possibility that a national sales tax will be implemented. Many economists argue that items such as food and clothing should be exempt from such a tax because low-income people spend a greater percentage of their income on these goods than do high-income individuals. This argument is motivated by concerns over
A. equity.
B. economic growth.
C. efficiency.
D. economic stability.
Answer: A
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A decrease in the real money supply can result from:
A) increase in the nominal money supply or an increase in the price level. B) increase in the nominal money supply or a decrease in the price level. C) decrease in the nominal money supply or an increase in the price level. D) decrease in the nominal money supply or a decrease in the price level.
Capital is a term economists use to refer to
a. man-made resources used to produce other goods and services. b. resources that are available in nature such as mineral deposits. c. money that is used to consume goods and services, to distinguish it from money that is saved. d. the value of the best alternative to an action.
Which statement is false?
A. A firm's marginal revenue product curve for labor is its demand curve for labor. B. Most desirable jobs are in the primary labor market. C. Virtually no one today earns economic rent. D. None of these statements are false.
In 1970 our imports and exports added together were __________ percent of GDP.
Fill in the blank(s) with the appropriate word(s).