To be valid, an economic model must:
A. include every activity which occurs in the real world.
B. not be based on an abstraction of the real world.
C. be able to predict events occurring in the real world.
D. exclude any link to the real world.
Answer: C
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State enforcement of OSHA requirements appears to have been more effective than federal enforcement
Indicate whether the statement is true or false
The institutions that bring together savers, borrowers, investors, and insurers in a set of interconnected markets where people trade financial products is called the:
A. market for interest rates. B. money system. C. financial system. D. market for loanable funds.
If the total costs of producing 1,500 units of output is $15,000 and this output sold to consumers for a total of $16,500, then the firm would earn profits of:
A. $1,000 B. $16,500 C. $1,500 D. $15,000
The current account balance includes international purchases and sales of goods and services, cross-border interest and dividend payments, and cross-border gifts to and from both private individuals and governments. It is approximately the same as net exports.
Answer the following statement true (T) or false (F)