Popeye receives a marginal utility of 12 utils for the last can of spinach consumed. If the price of a can of spinach is 50 cents per can, then the marginal utility per dollar spent on the last can of spinach is equal to:
a. 6 utils per dollar
b. 12 utils per dollar.
c. 18 utils per dollar.
d. 24 utils per dollar.
d
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The capacity utilization rate is the ratio of ________ to ________
A) production; capacity B) capacity; production C) capacity; potential GDP D) none of the above
In any one year, the Social Security taxes collected by the government must necessarily equal the Social Security payments that the government makes
Indicate whether the statement is true or false
A major advantage of monetary policy over fiscal policy is that monetary
a. policy affects all sectors of the economy equally. b. policy can be put into effect more quickly. c. policy, once implemented, takes effect more quickly. d. authorities see the need for policy more quickly.
The relationship between real estate markets and interest rates is:
A. inverse; higher interest rates drive down real estate prices and vice versa. B. direct; high interest rates lead to high real estate values as people abandon other financial assets. C. complex; cuts in the short-term interest rate lead to increases in long-term rates and higher real estate prices. D. nonexistent.