The income tax system serves as an automatic stabilizer over the course of the business cycle
Indicate whether the statement is true or false
TRUE
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The above table shows the total product schedule for the campus book store. If each employee is paid $6 per hour, what is the average variable cost of selling 83 books per hour (assuming labor costs are the only variable costs of production)?
A) $0.43 per book B) $0.07 per book C) $2.30 per book D) $6.00 per book
A large country imposes capital controls that prohibit foreign borrowing and lending by domestic residents. The country is currently running a financial account surplus. The imposition of the capital controls will cause
A) net exports to decrease. B) real domestic interest rates to rise. C) real world interest rates to rise. D) desired national saving to fall.
Over the course of the twentieth century, the typical American
A) remained equally as rich. B) became twice as rich. C) became five times as rich D) became eight times as rich.
The law of diminishing marginal utility states that as you consume more and more of a good, other things constant,
a. total utility eventually rises b. marginal utility can become positive c. marginal utility approaches, but never becomes, zero d. total utility can never become negative e. marginal utility eventually declines