Make a case for income inequality
First, by rewarding people for their productivity by paying them wages equal to their MRPs, people have the incentive to work and improve their skills. Since MRPs vary, people must receive different wage rates, even though this will lead to income inequality. Second, because the rich can afford to save a higher percentage of their income than can the poor, they tend to do the economy's investing, thus generating economic growth that benefits everyone.
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A decrease in the price of driver liability insurance will ________ the ________ for new automobiles
A) decrease; demand B) increase; demand C) decrease; supply D) increase; supply E) None of the above is correct.
In the late 19th century, interest rates in the U.S.:
a. tended to remain relatively constant throughout the year. b. tended to increase in the summer and decrease in the winter. c. tended to increase in the fall and winter, and decrease in the spring and summer. d. tended to rise steadily from winter through summer, and then decrease in the fall.
LeBron James went right from high school to the NBA because he had a low opportunity cost of attending college
a. True b. False
For the purpose of defining economic income, capital gains count as income only when they are realized.
Answer the following statement true (T) or false (F)