The following are all determinants of income differences examined in the text EXCEPT
A) age.
B) marginal productivity.
C) inheritance.
D) height.
Answer: D
You might also like to view...
When a government moves from a centrally planned economy to a market economy, this is an example of ________ policy.
A. monetary B. structural C. aggregation D. fiscal
Milly Miser removes $250,000 from her mattress and opens a checking account. This single transaction immediately increases the money supply by
a. $250,000. b. $50,000. c. $0. d. ?$250,000.
Chelsea wants to start her own Christmas ornament business. She can purchase a suitable factory that costs $100,000 . Chelsea currently has $150,000 in the bank earning 3 percent interest per year. Suppose Chelsea purchases the factory using $50,000 of her own money and $50,000 borrowed from a bank at an interest rate of 6 percent. What is Chelsea's annual opportunity cost of purchasing the
factory? a. $2,000 b. $3,000 c. $4,500 d. $5,000
The reason the multiplier is greater than 1 is that
A. income is re-spent. B. workers are capable of increasing their production when they have to. C. the marginal propensity to save is 1. D. None of the choices are correct.