If the marginal propensity to consume, MPC, is less than 1 and a household's disposable income increases by $2,000, the household's consumption will _____
a. increase by less than $2,000
b. increase by $2,000
c. decrease if the total income of the household is above $100,000
d. remain the same unless the change in income significantly affects the household's wealth
e. increase by more than $2,000
a
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As prices rise, people will buy fewer goods and services because:
a. the interest rate has declined. b. aggregate demand has increased. c. the purchasing power of the fixed quantity of money has declined. d. the income of households has increased.
Because there are positive externalities from higher education,
a. the private market would provide too little of it b. the private market would provide too much of it c. the government should impose a tax on college students d. the government should impose a tax on students' families e. higher education should not be produced
Which of the following allows you to search for files or folders?
A.Using the Help and Support window. B. Using the Start menu. C. Using the Search box in Word d. Using the file explorer window
Refer to the graph below. If the government wishes to collect tax revenues equal to R2, supply-side economists would strongly advise the government to set tax rates at:
A. T2 or T3
B. T2 only
C. T4 only
D. T2 or T4