In 2005 hurricane Katrina devastated large portions of the Gulf Coast economy. Many refineries went offline disrupting oil refining and distribution. What do you think was a likely result?
A) the restricted supply constituted a cost push shock that would have shifted the long run AS curve to the right
B) the restricted supply constituted a cost push shock that would have shifted the short run AS curve to the left
C) the restricted supply constituted a cost push shock that would have meant an upward movement along the Phillips curve
D) all of the above
E) none of the above
B
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Over the past year, output grew 5%, capital grew 5%, and labor grew 1%. If the elasticities of output with respect to capital and labor are 0.3 and 0.7, respectively, how much did productivity grow?
A) 0.5% B) 1.0% C) 2.2% D) 2.8%
Long-run economic growth is the process by which productivity increases
A) the employment rate. B) the average standard of living. C) the size of the labor force. D) federal tax revenues.
________: the schedule that shows how many units of a good that the consumer will purchase at different income levels, all other factors constant
Fill in the blank(s) with correct word
Refer to Table 19-13. Nominal GDP for Vicuna for 2013 equals
A) $4,920. B) $5,100. C) $5,300. D) $5,850.