The phenomenon of crowding-out suggests that the positive impact of budget deficits on economic activity are reduced by ________
A) the impact produced by government spending on the environment
B) an increase in national savings
C) the interest rate effects associated with federal deficits
D) the increase in pork barrel projects deficit spending entails
C
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Which of the following statements is an example of positive economic analysis?
A) The inflation rate is too high. B) The government should worry less about inflation and more about unemployment. C) If the government increases the rate of growth of the money supply, the inflation rate will increase, ceteris paribus. D) The elderly live on a fixed income, so the government has an obligation to keep inflation rates low.
The perfect competitor's demand and marginal revenue curves ______ identical; the monopolist's demand and marginal revenue curves _______ identical.
Fill in the blank(s) with the appropriate word(s).
Congress commissioned a study to determine what the poverty level or minimum level for subsistence should be for the U.S. population. To what branch of economics does this study correspond?
What will be an ideal response?
If the demand for a monopolist's product increases, its
A) marginal revenue increases, making it more profitable to hire more workers. B) marginal revenue increases, making it more profitable to hire fewer workers. C) marginal revenue decreases, making it more profitable to hire more workers. D) marginal revenue decreases, making it more profitable to hire fewer workers.