Refer to the information provided in Figure 34.1 below to answer the question(s) that follow.
Figure 34.1Refer to Figure 34.1. If the economy is closed and the government increases spending by 25, the new equilibrium output is
A. 150.
B. 200.
C. 225.
D. 240.
Answer: C
You might also like to view...
According to economic theory, elected government officials will favor
A) federal budget surpluses. B) balanced federal budgets. C) federal budget deficits. D) shrinking federal budgets.
If the stock price of a company is higher than the discounted value of its future earnings,
a. Buy the stock only if the company has a sustained competitive advantage b. Don't buy the stock, even if the company has a sustained competitive advantage c. Always buy the stock d. None of the above
Standardized goods are:
A. goods which are regulated by government quality standards. B. goods which are easily substitutable and not distinguishable. C. the most common type of good produced. D. those sold in markets with regulated price systems.
If more of an input factor is used, while holding other inputs constant, a firm will eventually experience:
A. Diminishing returns. B. Falling marginal cost. C. Rising marginal physical product. D. Rising consumer demand.