An open economy's GDP is always given by

a. Y = C + I + G.
b. Y = C + I + G + T.
c. Y = C + I + G + S.
d. Y = C + I + G + NX.


d

Economics

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Refer to Figure 24-2. Ceteris paribus, an increase in the price level would be represented by a movement from

A) SRAS1 to SRAS2. B) SRAS2 to SRAS1. C) point A to point B. D) point B to point A.

Economics

Sweet Husks is a perfectly competitive corn farm. Currently, the expected price of an ear of corn is $0.20 and, at its current production level, Sweet Husks has a marginal cost of $.20 per ear. Which of the following is true regarding Sweet Husks?

A) To maximize expected profit, Sweet Husks should increase production. B) To maximize expected profit, Sweet Husks should decrease production. C) To maximize expected profit, Sweet Husks should double production. D) Sweet Husks is maximizing expected profit.

Economics

Both marginal revenue and marginal revenue product refer to the gains to the firm from employing one additional worker

a. True b. False

Economics

Considering only its direct effect on income, the effect of monetary policy is that:

A. both expansionary and contractionary policies tend to decrease the trade deficit. B. both expansionary and contractionary policies tend to increase the trade deficit. C. expansionary policy tends to increase the trade deficit and contractionary policy tends to decrease it. D. expansionary policy tends to decrease the trade deficit and contractionary policy tends to increase it.

Economics