If the prices of X and Y are $2 and $4 per unit, respectively, and this consumer has $10 in income to spend, to maximize total utility, this consumer should buy:
A. 1 unit of X and 1 unit of Y.
B. 2 units of X and 2 units of Y.
C. 1 unit of X and 2 units of Y.
D. 5 units of X and no units of Y.
C. 1 unit of X and 2 units of Y.
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Explain the distinction between investment and capital.
What will be an ideal response?
An increase in the costs of resources or inputs of production would shift the:
A) short-run aggregate supply curve rightward. B) short-run aggregate supply curve leftward. C) long-run aggregate supply curve rightward. D) long-run aggregate supply curve leftward.
In 1991 the unemployment rate in the United States rose to 7.1 percent. This is ________ the unemployment rate reached in the depths of the Great Depression
A) about two percentage points more than B) roughly equal to C) about three percentage points less than D) about half of E) less than one-third of
Some economists argue that the increases in aggregate demand for output spurred by wartime spending, complemented by the strong spending in the private sector, impacted the U.S. economy by
(a) increasing production and employment. (b) increasing employment and income. (c) increasing income, thus fueling additional spending. (d) contributing to all of the above.