Sam has $200 a month to spend on either tanning sessions or rounds of golf. Tanning sessions are $20 each, and a round of golf is $40. What can we say about Sam's utility?
A. Sam will get more utility from each round of golf than each tanning session.
B. Sam will get the same utility from one round of golf as he would from two tanning sessions.
C. Sam will maximize his utility from 2 rounds of golf and 6 tanning sessions.
D. We cannot say anything about Sam's utility from the consumption of these goods without more information.
D. We cannot say anything about Sam's utility from the consumption of these goods without more information.
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Advocates of floating rates pointed out that
A) removal of the obligation to peg currency values would restore monetary control to central banks. B) imposing of the obligation to peg currency values would restore monetary control to central banks. C) removing of the obligation to peg currency values would restore fiscal control. D) imposing of the obligation to peg currency values would restore fiscal control. E) imposing of the obligation to peg currency would restore monetary control to the consumer.
The retirement effect is
A. when people retire later than they normally would have due to Social Security. B. when people decide not to retire at all because of problems with Social Security. C. when people retire earlier than they normally would have due to Social Security. D. when people save less for their retirement due to Social Security.
The market demand curve for a particular good
a. may be horizontal even if the individual consumers' demand curves are downward sloping b. will always shift to the right as the price of the good decreases c. is even more likely to be downward sloping than an individual consumer's demand curve d. will always shift to the right if consumers' incomes increase e. must be flatter than the flattest of the individual consumer demand curves
When the aggregate supply curve is ________ any increase in the price level will not cause an increase in aggregate output.
A. vertical B. upward sloping C. horizontal D. downward sloping