What is known as the Dutch disease?
a. The problem that arises when a government cannot meet its foreign debts
b. The phenomenon of a boom in one industry causing declines in the rest of the economy
c. A sudden and unexpected devaluation of a currency as a consequence of policy controls
d. The problem that arises when high imports force an economy to borrow from external sources
e. A deficit in the balance of payments of the economy that arises due to a sudden appreciation of the domestic currency
b
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Unlike command-and-control regulation, corrective taxes generate revenue for governments
a. True b. False Indicate whether the statement is true or false
If bus travel is an inferior good, then its income elasticity of demand will be
a. strictly greater than one. b. positive. c. equal to zero. d. negative.
Over the past several decades, the difference between the labor-force participation rates of men and women in the U.S. has gradually increased
a. True b. False Indicate whether the statement is true or false
Describe the intended effects of the first-time home buyer tax credits granted by Congress and many state governments in 2009 and 2010. In addition, describe in detail the unintended effect of this type of legislation