Recall the illustration in the text where Y = $700 billion, consumers spend $620 billion on consumption goods, and producers make only $600 billion of consumption goods. David Tietlebaum's Poster and Frame store, a representative retail store, is directly affected by this situation. Which of the following does not happen to David?
a. David discovers that the inventories he wants to hold will be reduced.
b. David will reorder greater quantities of posters and frames.
c. David will sell some of the goods he had expected to hold as investment.
d. David will need to restock depleted inventories.
e. David will find that his actual investment is greater than intended investment.
E
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Refer to Table 2-20. What is Thailand's opportunity cost of producing one pound of rice?
A) 60 wristwatches B) 20 wristwatches C) 5 wristwatches D) 0.05 units of a wristwatch
That the migration of black middle and working class families from the ghettos removed the key social constraint against crime is a central thesis of
A. William Julius Wilson. B. Charles Murray. C. Mickey Kaus. D. Frances Fox Piven.
Science is justified through heuristic models.
Answer the following statement true (T) or false (F)
If consumers' confidence in the economy rises
A) aggregate demand will shift rightward and the price level will rise. B) aggregate demand will shift leftward and the price level will fall. C) aggregate demand will shift rightward and the price level will fall. D) aggregate demand will shift leftward and the price level will rise.