“Gathering economic facts is futile unless accompanied by economic analysis.” Explain
Please provide the best answer for the statement.
Facts are important if they can be related to other facts to help explain behavior or suggest policy. For example, knowing the income per capital in the U.S. is useful if we view it relative to past performance, price levels, other countries, etc. Simply knowing per capital income by itself (in isolation) is relatively useless.
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According to this Application, what is home equity?
A) the difference between the value of homes and the amount of mortgage debt on the property B) the value of homes less the value of the property on which the homes are sitting C) the value of homes plus the value of the content in the homes D) the average retail value of homes listed for sale
Match each of the following jobs to its major area: forecasting, analysis, research, or data development. Explain your answers
(a) Economist at university, testing theories about the efficient allocation of resources in the foreign exchange market (b) Economist at Wall Street firm trying to predict the rate of inflation next year using past data (c) Economist at auto firm looking at demand for new automobiles (d) Economist at the International Trade Commission trying to determine whether foreign firms are dumping goods in the United States (e) Economist at the Commerce Department developing new methods for calculating price indexes (f) Economist consulting in Eastern Europe about how to set up free-market financial systems
If disposable income increases by $100 and consumption increased by $85, ceteris paribus, we may conclude that
A) the marginal propensity to consume is 0.85. B) the marginal propensity to consume is 0.15. C) $15 is autonomous consumption. D) a change in disposable income is induced by a change in consumption.
For which situation would we expect the adjustment speed to be the fastest?
A) The demand for surgeons increases. B) A large increase in birth rates leads to an increase in elementary school teachers. C) The demand for movie videos increases. D) The demand for office space in downtown Chicago increases.