A source of business risk is a change in
A) technology.
B) consumer preferences.
C) input prices.
D) All of the above
D
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Suppose that real GDP starts at 100 and grows at a rate of 10 percent per year for two years. In the third year real GDP would be
A) 110. B) 110.1. C) 120. D) 121.
What arguments suggest that an unequal wealth distribution is not a problem? What arguments suggest that an unequal wealth distribution is a problem?
What will be an ideal response?
Which of the following will shift the production possibilities curve outward?
a. a hurricane that destroys buildings throughout Florida b. an increase in the capacity utilization of existing factories c. an increase in the unemployment rate d. a decrease in the market price of both goods
Lowering the legal reserve requirement might not result in an increase in the money supply if
a. tax rates are also lowered at the same time b. tax rates are increased at the same time c. borrowers are unwilling to borrow the new funds the banks have available for loans d. borrowers are willing to borrow the new funds the banks have available for loans e. borrowers expand their borrowing because of the lower interest rates that banks offer