In the above figure, when real disposable income is less than 600, then
A) consumption is less than disposable income. B) consumption is the same as disposable income.
C) consumption is more than disposable income. D) the MPC will fall.
C
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If a country grows at an average rate of 3.5 percent per year, we can estimate it will double its:
A. growth rate in 20 years. B. growth rate in 70 years. C. real GDP per capita in 20 years. D. real GDP per capita in 70 years.
The Federal Reserve System
What will be an ideal response?
If the United States follows an expansionary monetary policy relative to Japan and Germany, which of the following is not likely to occur?
A) U.S. interest rates will rise relative to Japan and Germany B) a larger U.S. capital account deficit C) a depreciation of the dollar D) lower level of U.S. income
Each of the following consumers exhibit behavior that violates one of the basic assumptions of consumer preferences. Identify the assumption that is violated for each individual
? Art says that he can watch 2 movies a week but couldn't be paid to watch another movie after that. ? Alex says that he prefers going to a movie over hiking. He also indicates that he prefers hiking to swimming. Alex then states that he would rather go swimming than go to a movie. ? Alicia says that she prefers hiking to watching a movie but can't determine her preferences for swimming.