In the traditional Keynesian model, an increase in government spending raises total planned real expenditures by more than the original increase in government spending because
A) of the crowding-out effect on consumption spending.
B) consumption spending is not related to real GDP.
C) consumption spending depends positively on real GDP.
D) consumption spending depends negatively on real GDP.
C
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Which price structure would tend to most effectively promote water conservation?
a. Uniform block structure b. Constant price structure c. Increasing block structure d. Decreasing block structure e. Marginal price structure
Suppose at the current level of labor used, MRP = $20 and MFC = $25. To maximize profits, the firm should
A. maintain the current level of labor. B. reduce the level of labor. C. expand production. D. hire more labor.
At the socially optimum quantity of production, price equals:
A. average total cost. B. marginal revenue. C. average variable cost. D. marginal cost.
Refer to the information provided in Table 31.1 below to answer the question(s) that follow.Table 31.1PeriodQuantity of Labor (L)Quantity of Capital (K)Total Output (Y)1 50 50 2002 60 50 2203 70 50 2354 80 50 245Refer to Table 31.1. During Period 3, labor productivity is equal to
A. 0.3. B. 1.96. C. 3.36. D. 4.7.