If the consumption function is defined as C = 7,250 + 0.8Y, what is the value of the multiplier?
A) 0.2
B) 0.8
C) 1.25
D) 5
D
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The self-correcting tendency of the economy means that rising inflation eventually eliminates:
A. unemployment. B. exogenous spending. C. recessionary gaps. D. expansionary gaps.
Suppose that the number of companies selling computer software decreases. How does this change affect the supply of computer software and the supply curve of computer software?
What will be an ideal response?
The most important factor contributing to wage differences in the labor market is differences in the level of education and training among workers
Indicate whether the statement is true or false
Which of the following would be included in the calculation of gross domestic product?
a) government purchase of a new submarine b) Social Security payment to a retired military officer c) the purchase of a home built 10 years ago d) contributions to a charity organization e) a barber cutting the hair of his own children