If national income increases by $75 million and consumption increases by $15 million, the marginal propensity to consume is
A) 5. B) 0.75. C) 0.20. D) 0.15.
C
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The difference between money and income is that
A) money is a flow and income is a stock. B) money is a stock and income is a flow. C) there is no difference—money and income are both stocks. D) there is no difference—money and income are both flows.
An emerging market country that successfully used exchange-rate targeting to lower its inflation from above 100 percent in 1988 to below 10 percent in 1994 (before devaluation) was
A) Thailand. B) Mexico. C) The Philippines. D) Indonesia.
What are three reasons that employees may prefer to save through pensions provided by employers rather than through savings accounts?
What will be an ideal response?
Menu costs help explain
a. sticky-price theory. b. misperceptions theory. c. sticky-wage theory. d. All of the above are correct.