Figure 10-12
In , which of the following would most likely cause the movement from point E1 to point e2 for the United States?
a.
a severe drought in agricultural areas
b.
a major technological improvement
c.
business and consumer pessimism about the future direction of the economy
d.
a decrease in the expected inflation rate
a
You might also like to view...
In a hypothetical country, the average wage of five 40-year-old citizens with college education is $36,896, and the average wage of five 40-year-old citizens with high school education is $25,864
What is the returns-to-college education in the country? Is there any limitation of this analysis? Explain your answer.
If the rate of growth in real GDP exceeds the rate of growth in the money supply, the quantity theory of money predicts a price deflation
Indicate whether the statement is true or false
If the marginal propensity to consume is 0.8 and if government spending (G) rises by 50 while investment (I) falls by 20, by how much will equilibrium income rise?
a. 12 b. 10 c. 30 d. 120 e. 150
The United States is a fairly good example of
a. a mixed economy. b. a pure market system. c. a government-dominated economy. d. a manufacturing economy. e. a transitioning economy.