Which of the following is true of a consumption function with income taxes?
a. It is flatter than a consumption function without income taxes.
b. It is steeper than a consumption function without income taxes.
c. It lies above a consumption function without income taxes
d. It lies below a consumption function without income taxes.
a
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Expansionary monetary policy should initially change gross investment by ________.
A. more than necessary to reach full employment B. an amount determined by the money multiplier C. enough to reach full employment D. less than necessary to reach full employment
Explanations for the high precautionary savings in China includes all of these except:
A. lifetime employment and guaranteed state pensions. B. China's limited social safety net provides most people with little protection against health problems and medical costs. C. higher prices for things such as housing and education. D. the many uncertainties associated with changing economic institution and society as a whole.
The value of money or income in terms of the quantity of goods the money can buy is called its:
A. real value. B. marginal value. C. nominal value. D. implicit value.
Which statement is true?
A. it is easier to attain full employment than full production. B. employment discrimination no longer exists in the U.S. labor market. C. The United States is usually operating on the production possibilities frontier. D. None of these statements are true.