A decrease in spending on new homes will, other things equal
A) increase aggregate demand. B) increase aggregate supply.
C) decrease aggregate demand. D) decrease aggregate supply.
C
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The GNP and National Income (NI) figures are not equal because
a. business profits are included in GNP but not in NI. b. capital consumption allowance and productive resource income from the rest of the world are included in GNP but not in NI. c. all taxes must be deducted from GNP to arrive at NI. d. None of these.
It should not be surprising if the public sector fails to pay for the right amount or right kinds of basic research because
a. basic research is not a public good. b. the benefits of basic research are hard to measure. c. members of Congress usually have little expertise in science. d. Both b and c are correct.
Which fact about recycling is incorrect?
A. Between 1980 and 2008, recycling in the United States has tripled. B. As of 2014, the 27 European Union members recycled more in terms of a percentage of garbage than the United States. C. Recycling rates of commonly used materials in the United States and industrial countries have fallen. D. Only 9 percent of plastics are recycled.
The opportunity cost of choosing an alternative
a. is the value of the highest valued alternative forgone as the result of the choice. b. includes only the amount of time spent on whatever is chosen. c. includes only the money cost of the option. d. is irrelevant for most choices individuals face.