How can a global savings glut affect the United States?
A) It can reduce the world real interest rate, thus encouraging borrowing by Americans.
B) It can increase the world real interest rate, thus encouraging saving by Americans.
C) It can reduce the supply of loanable funds for the United States.
D) It can reduce the demand for loanable funds for the United States.
A
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According to ________, there is a close connection between unemployment and the growth rate of real GDP
A) Say's Law B) Okun's Law C) Engel's Law D) Ricardo's Law
If a person is risk neutral, then she
A) is indifferent about playing a fair game. B) will pay a premium to avoid a fair game. C) has a horizontal utility function. D) has zero marginal utility of wealth.
In the above figure, which of the following points indicates the efficient use of resources?
A. a B. f C. h D. g
Microeconomics is _____ while macroeconomics is _____.
a. always positive in nature; always normative in nature b. the area of economics which studies how individuals make decisions; the area of economics which studies the big picture c. the study of the economy as a whole; the study of the behavior of individual decision makers d. why economists agree; why economists disagree