The per capita GDP in Italy declined steadily between 2000 and 2010. One of the main causes of this crisis is that
A. the birth rate in Italy plummeted during the period.
B. tax evasions by individuals and businesses were very pervasive during the period.
C. Italy's national debt was relatively low prior to the crisis.
D. the pension system in Italy could not support the increasing number of retired workers during the period.
Answer: A
You might also like to view...
Figure 11-2
?
As we move down the production possibilities schedule in Figure 11-2, each successive point is
A. less efficient. B. more efficient. C. equally efficient. D. more or less efficient; we cannot tell which.
Which of the following will discourage investment?
a. well-defined property rights b. monetary instability c. a low and steady rate of inflation d. low tax rates
Why does a downward-sloping Phillips curve imply a positive sacrifice ratio?
If the sacrifice ratio is 3, then reducing the inflation rate from 5 percent to 3 percent would require sacrificing
a. 2 percent of annual output. b. 6 percent of annual output. c. 8 percent of annual output. d. 11 percent of annual output.