Real GDP is not a perfect indicator of economic welfare because ________
A) it includes the underground economy
B) it includes a direct measure of health and life expectancy
C) it underestimates inflation
D) economic welfare depends on many factors not measured or not measured accurately by real GDP
D
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The Full Employment Act of 1946 was based on the ideas associated with the
a. classical school b. Keynesian school c. rational expectations school d. supply-side school e. monetarist school
A(n) ______ statement is an objective, testable statement that describes what happens and why it happens
a. positive b. normative c. negative d. analytical
AT&T, the employer of the three scientists credited with inventing the transistor,
A. reaped very few economic benefits from the invention. B. earned a modest 10 percent return from the invention. C. earned an unprecedented 2,000 percent return from the invention. D. suffered economic losses because of the invention.
In January 2009, the President submitted a bill to Congress in order to stimulate the economy and increase employment. The legislation was passed in March 2009, and the spending occurred from June 2009 to March 2011. As a result
A. the full effect of the fiscal policy change would not be felt until after March 2011 because of the effect time lag. B. the full effect of the fiscal policy change would be felt when the last of the funds were spent by the government. C. the full effect of the fiscal policy change would be felt by March 2011 because people anticipated the spending and changed their behavior accordingly. D. the full effect of the fiscal policy change would not be felt until after March 2011 because of the recognition time lag.