A specific tax of $1 per unit of output will affect a firm's
A) average total cost, average variable cost, average fixed cost, and marginal cost.
B) average total cost, average variable cost, and average fixed cost.
C) average total cost, average variable cost, and marginal cost.
D) marginal cost only.
C
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List five major sources of income inequality
What will be an ideal response?
According to the Keynesian model, increased foreign spending for U.S. goods is likely to
a. reduce total employment in the United States. b. increase total employment in the foreign country. c. reduce total output in the United States. d. increase total output in the United States.
Which of the following is most likely to occur during recession?
a. Increase in wage rate b. Decrease in potential real GDP c. Increase in the market rate of interest d. Decrease in the average price level e. Decrease in the government transfer payments
The four components of planned aggregate expenditure are:
A. consumption, planned investment, government transfers, and net interest. B. consumption, planned investment, government purchases, and net exports. C. spending on durable goods, inventory investment, government debt, and net exports. D. spending on domestic goods, domestic services, foreign goods, and foreign services.