If the value of a government-taxation multiplier is 1.8, which of the following is likely to be true if all other variables remain unchanged?
A) A $1.80 increase in taxation increases gross domestic product by $1.80.
B) A $1 reduction in taxation increases gross domestic product by $1.80.
C) A $1 increase in taxation increases gross domestic product by $1.80.
D) A $1.80 reduction in taxation increases gross domestic product by $1.80.
B
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The above figure shows a graph of the market for pizzas in a large town. At a price of $14, there will be
A) no pizzas supplied. B) equilibrium. C) excess supply. D) excess demand.
Budget lines: a. are typically positively sloped
b. are typically negatively sloped. c. often have the same slope as indifference curves. d. are generally horizontal.
:Employed full-time:4,200Employed part-time: 700Not employed and looking for work: 300Not employed and not looking for work: 200
Given the data in Table 12.1, if the workers who are "not employed and not looking for work" were counted as not employed and in the labor force, the unemployment rate of Metropolis would be approximately:
A. 4 percent. B. 7 percent. C. 9 percent. D. 10 percent.
To get a profit-maximizing firm in a perfectly competitive labor market to hire another worker, the firm will need to
A. raise the wage rate paid to that last worker hired and also to all previous workers hired. B. lower the wage rate paid to that last worker hired and also to all previous workers hired. C. lower the wage rate paid to the last worker hired only. D. raise the wage rate paid to the last worker hired only.