When you use a debit card to purchase a pair of jeans, you are
A) creating a 30-day loan from your bank to the seller.
B) creating a 30-day loan from the seller to your bank.
C) giving your bank an instruction to transfer funds directly from your bank account to the store's bank account.
D) creating an overnight repurchase agreement between your bank and the store.
C
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Economists are interested in long-term economic growth because growth increases real GDP per person and improves our standard of living
Indicate whether the statement is true or false
For a perfectly competitive firm, which of the following is NOT true?
A) The average revenue curve, the demand and the marginal revenue curves are identical. B) The total revenue curve begins at the origin and slopes upward as output increases. C) The slope of the total revenue curve is equal to the product price. D) The total revenue curve is horizontal.
Upon getting a big promotion, Sally decides to buy a house in the neighborhood she grew up in as a child. In fact, the house she buys used to belong to a neighbor of hers, and so she's certain it's in good shape and well worth the $200,000 she pays for it. The only thing Sally needs to do is replace all the gutters for $1,000, which she happily does. How will GDP be affected by Sally's recent purchases?
A. Consumption will increase by $1,000, and investment will increase by $200,000. B. Consumption will increase by $210,000. C. Investment will increase by $201,000. D. GDP will increase by $1000.
A society consists of three individuals: Sam, Tristan, and Ulyana. In terms of income and utility, Sam is currently best-off, Tristan ranks in the middle, and Ulyana is worst-off. Which of the following statements is correct?
a. Utilitarianism suggests that government policies should strive to maximize Ulyana's utility. b. Liberalism suggests that government policies should strive to increase Ulyana's utility. c. Libertarianism suggests that government policies should strive to improve Tristan's utility at the cost of Sam's utility. d. Libertarianism suggests that government policies should strive to make Sam, Tristan, and Ulyana equally well off.