The following data describe Mexico's economy in 2007
Government spending $210 billion
Investment $210 billion
Exports $272 billion
Imports $283 billion
GDP 1 trillion
Population 110 million
From the data, we can conclude that ________ in Mexico in 2007.
A) consumption totaled $591 billion
B) net exports totaled -$11 billion
C) GDP per person equaled $2000
D) imports were the largest component of GDP
A
You might also like to view...
In order to isolate the substitution effect of a price increase, a consumer
a. must be given a lower price on the other good so that he can achieve his original indifference curve. b. must be given enough of the other good so that his consumption of that good is not influenced. c. must be given enough additional income to allow him to achieve his original indifference curve. d. must be given enough additional income to allow him to purchase the original quantity of the good.
The second step of the four step process is to
a. identify the new equilibrium and then compare the original equilibrium price and quantity to the new equilibrium price and quantity. b. decide whether the economic change being analyzed affects demand or supply. c. draw a demand and supply model before the economic change took place. d. decide whether the effect on demand or supply causes the curve to shift to the right or to the left, and sketch the new demand or supply curve on the diagram.
Which of the following statements is correct regarding a tax on a good and the resulting deadweight loss?
a. The greater are the price elasticities of supply and demand, the greater is the deadweight loss. b. The greater is the price elasticity of supply and the smaller is the price elasticity of demand, the greater is the deadweight loss. c. The smaller are the decreases in quantity demanded and quantity supplied, the greater the deadweight loss. d. The smaller is the wedge between the effective price to sellers and the effective price to buyers, the greater is the deadweight loss.
If commercial banks are maintaining a 5 percent reserve/deposit ratio and the Fed lowers the required reserve ratio to 3 percent, then banks may ________ their loans and deposits, and the money supply may ________.
A. decrease; increase B. decrease; decrease C. increase; increase D. increase; decrease