Income taxes are an automatic stabilizer because when income rises, ceteris paribus, tax receipts
A. Fall as taxpayers experience bracket creep.
B. Rise because taxes are computed on the basis of income.
C. Fall because income taxes are regressive.
D. Fall because automatic stabilizers work against the cyclical movements of the GDP.
Answer: B
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Jack lost his job six months ago, and he's been actively looking for a new job ever since. The Bureau of Labor Statistics would classify Jack as
A) a discouraged worker. B) unemployed. C) out of the labor force. D) all of the above.
The cyclically adjusted budget deficit calculates the budget surplus or deficit at
A) potential GDP. B) average GDP. C) real GDP. D) nominal GDP.
Suppose the accompanying figure illustrates the demand curve facing a monopolist. 
At a price of $8 per unit, the total revenue for this monopolist is ________ per day, and the marginal revenue earned from the last unit sold is ________.
A. $3,200; $8 B. $8; $8 C. $3,200; $0 D. $3,200; $4
As per WTO rules, can the U.S. require cars from Germany to limit the amount of emissions that these cars release into the atmosphere?
What will be an ideal response?