How much is induced consumption when disposable income is $400 billion?
$300 billion
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The rate of growth in real GDP minus the rate of growth of the population is the
A) rate of growth of nominal GDP. B) population growth rate. C) rate of growth of per capita real GDP. D) unemployment rate.
The government considers a market to be unconcentrated if its HHI number is less than ____, and highly concentrated if that number exceeds ____.
A. 1,000; 2,500 B. 100; 9,000 C. 50; 500 D. 500; 1,300
Real, rather than nominal, figures are important to use when making comparisons of incomes across time periods because
What will be an ideal response?
Which of the following statements is true?
A. Above the optimal tax rate, a reduction in tax rates along the downward-sloping portion of the Laffer curve would increase tax revenues. B. According to supply-side fiscal policy, lower tax rates would shift the aggregate demand curve to the right, expanding the economy and creating some inflation. C. The presence of the automatic stabilizers tends to destabilize the economy. D. To combat inflation, Keynesians recommend lower taxes and greater government spending.