Refer to the accompanying figure. If this restaurant makes 75 salads in one hour, then what's the maximum number of pizzas it can make in that same hour?
A. 0
B. 30
C. 10
D. 20
Answer: B
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Variables A and B are inversely related. If we plot A on the horizontal axis and B on the vertical axis, the line that connects combinations of A and B in a two-variable diagram is
A) parallel to the horizontal axis. B) downward-sloping (left to right). C) parallel to the vertical axis. D) upward-sloping (left to right). E) a or c
Economic growth in Lillian’s country has been very slow. Which of the following offers the most likely explanation for this?
a. The population is increasing rapidly. b. The standard of living is low. c. Too much of the nation’s resources are being invested in technology. d. People are saving too much of their income instead of consuming.
The Keynesian mechanism through which monetary policy affects the price level, real GDP, and employment depends on the impact of the:
A. interest rate on savings. B. inflation on investment. C. interest rate on investment. D. interest rate on bond prices.
Fiscal policy
A. uses the same means as monetary policy to attain the same goals. B. is carried out by the Congress only. C. can be discretionary or automatic. D. uses the same means as monetary policy to accomplish an entirely different set of goals.