Micah buys a used car for $10,000 and spends $200 on a new radio that is made in the U.S. The end result of these two transactions is
a. U.S. consumption purchases increase by $200 and U.S. GDP increases by $200.
b. U.S. consumption purchases increase by $200 and U.S. GDP increases by $10,000.
c. U.S. consumption purchases increase by $10,000 and U.S. GDP increases by $10,200.
d. U.S. consumption purchases increase by $10,200 and U.S. GDP increases by $10,200.
a
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Refer to the above table. Suppose one country has a per capita real GDP of $1000 and another has a per capita real GDP of $10,000, or ten times larger. If both countries have a growth rate of 5 percent, how much larger will per capita real GDP be in the second country be than the first after 50 years?
A) 8 times larger B) 5 times larger C) 10 times larger D) 4 times larger
In an auction, ________
A) buyers set the price of a good B) the seller sets the price of a good C) the government sets the price of a good below its market price D) the government sets the price of a good above its market price
During the financial crisis of 2008, the unemployment rate
A. fell by less than expected. B. barely changed. C. fell dramatically. D. rose dramatically.
Unemployment occurs even during periods when the economy is growing.
Answer the following statement true (T) or false (F)