Using the expenditure approach to GDP accounting, which of the following are included in the investment category?
a. the purchase of government bonds
b. the purchase of corporate bonds
c. the purchase of corporate stocks
d. none of the above
d
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If an individual's budget constraint shifts, the individual's changes in consumption can be broken down into _____ and _____ effects
a. budget; consumption b. income; substitution c. utility; indifference d. wealth; savings
The reduction in private borrowing that is caused by an increase in government borrowing is called:
A. surplus investment. B. the savings effect. C. the dissaving effect. D. the crowding out effect.
Refer to the information provided in Figure 2.5 below to answer the question(s) that follow.
Figure 2.5Refer to Figure 2.5. The marginal rate of transformation in moving from Point A to Point B is
A. -2/3. B. -1.5. C. -3. D. -30.
An increase in inflationary expectations shifts the economy's short run Phillips curve to the left.
Answer the following statement true (T) or false (F)