When you are working, you pay more unemployment insurance than you get from it and when you're unemployed, you get more from it than you pay in. That's why the insurance is called
a. an automatic stabilizer
b. an automatic destabilizer
c. a discretionary stabilizer
d. a destabilizing influence on the Phillips curve
e. a stabilizing influence on the Phillips curve
A
You might also like to view...
The figure above shows the market for coffee. If the efficient quantity of coffee is produced, the consumer surplus is
A) $10 million. B) $20 million. C) $60 million. D) zero.
If a good is inferior, then an increase in income will result in a(n)
a. increase in the demand for the good. b. decrease in the demand for the good. c. movement down and to the right along the demand curve for the good. d. movement up and to the left along the demand curve for the good.
A monopoly that results from economies of scale is called a(n):
A. large-scale monopolist. B. antitrust violator. C. cost-plus firm. D. natural monopoly.
Old Navy has a discount store in a rundown neighborhood and charges about half what they charge for the same merchandise in a more fashionable neighborhood. The best explanation for why they charge less in the rundown neighborhood is that
A. they pay less rent. B. their customers can't afford to pay any more. C. they don't have to bother advertising. D. they are maximizing their profits at the prices they are charging.