Explain how a recession differs from a depression
Recessions are relatively mild periods of declining real incomes and rising unemployment. Depressions are severe recessions.
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Which of the following would most likely be provided by a natural monopoly?
A) Michigan Radio is the state's most listened-to public radio service. B) Sirius Satellite Radio is accessed through a subscription. C) X96 is an alternative radio station out of Salt Lake City. D) a Mariah Carey CD
The price of services at Urban General falls by 10 percent
a. Quantity demanded at Urban General increases by 15.0 percent. b. Quantity demanded at Urban General increases by 1.5 percent. c. Quantity demanded at St.Elsewhere rises by 3.5 percent. d. Quantity demanded at St.Elsewhere falls by 5.0 percent. e. Quantity demanded at Urban General rises by 5.0 percent.
People in developing countries may want to participate in a rotating savings and credit association (ROSCAS) because:
a. such associations are part of the black market and they offer attractive returns. b. such associations promise a guaranteed return unlike other banking institutions. c. such associations allow participating individuals to invest their savings abroad. d. such associations allow all but the last member to receive funds faster than they could save on their own. e. most governments encourage it.
What would happen if the German economy became viewed as a less desirable place for foreign investors to put their money because of fears about the growth of the German public debt?
a. Equilibrium would not change. b. A lower quantity of financial investment would result. c. A lower interest rate would result. d. Interest rates would not change.