One objection to supply-side tax cuts is that demand-side changes
a. are smaller than supply-side changes.
b. and supply-side changes are about equal.
c. are more unpredictable than supply-side changes.
d. are larger than supply-side changes.
d
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In order to reduce inflationary pressure on the economy, what fiscal policy can the government use?
A) increase government expenditure on goods and services B) cut interest rates C) increase the quantity of money D) raise taxes E) cut taxes
When a competitive equilibrium is achieved in a market
A) all individuals are better off than they would be if a price ceiling or price floor was imposed by government. B) the total net benefit to society is maximized. C) the total benefits to consumers are equal to the total benefits to producers. D) economic surplus equals the deadweight loss.
An indifference curve has a negative slope because movement along the curve requires the consumer to give up the:
a. marginal utility of one good. b. total utility of one good. c. marginal substitution value (MSV). d. marginal transitivity of one good.
Scarcity
a. Can be eradicated with sufficient economic growth. b. Could be eradicated if we could just eliminate greed. c. Can never be eradicated d. Both a. and b. are true