If your real disposable income goes up by $200 per week, and your real consumption spending goes up by $160 per week, you have an marginal propensity to save of
A. 1.2.
B. 0.8.
C. 0.2.
D. 1.0.
Answer: C
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A measure of consumer surplus in any market is
a. total expenditure on the good b. the area above the supply curve and below the price c. the area beneath the demand curve d. the area beneath the demand curve and above the price e. the market price
A demand curve for The Steel Porcupines' concert tickets would show the:
a. quality of service that customers demand when they buy a ticket. b. number of people who like to attend the concert. c. number of tickets the promoters are willing to sell at each price. d. number of concert tickets that will be purchased at each price.
An open-market purchase by the Federal Reserve injects excess reserves into the banking system and allows the money supply to expand
a. True b. False Indicate whether the statement is true or false
Which of the following actions did Congress NOT take in the 1930s, in an effort to prevent future financial crises like the stock market crash of 1929?
A. Glass-Steagall Banking Act B. Formation of the SEC C. Formation of the FDIC D. Federal Reserve Act