Which of the following is likely to increase measured GDP in the United States?
A) Florida implements a state income tax, prompting more Floridians to obtain jobs in the underground economy.
B) Nissan increases production in its Japanese factories to produce more cars for export to the United States.
C) Prostitution is legalized in all 50 states.
D) A greater number of men in California decide to become "stay-at-home dads" to take care of their kids.
C
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Why are property rights so important for markets?
A. Property rights allow companies to have a monopoly. B. Without property rights there are few incentives to improve, create, or build something, because you cannot legally trade it. C. Property rights force others to pay you more for the good or service. D. Those who have property rights are more likely to create more because they will get more money in the market.
The above table has data from the nation of Atlantica. Based on these data, autonomous consumption is
A) $5.8 trillion. B) $1.8 trillion. C) $2.6 trillion. D) $3.2 trillion. E) $4.0 trillion.
When a lender refuses to make a loan, although borrowers are willing to pay the stated interest rate or even a higher rate, the bank is said to engage in
A) coercive bargaining. B) strategic holding out. C) credit rationing. D) collusive behavior.
The law of diminishing marginal utility does not hold good when the good is free or priced at zero dollars
a. True b. False Indicate whether the statement is true or false