The optimal time for the implementation of restrictive fiscal policy would be
a. before inflation accelerated.
b. after inflation accelerated.
c. during a recession.
d. after the price level had risen significantly.
A
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When two variables move in opposite directions, they are said to be:
A) uncorrelated. B) positively correlated. C) negatively correlated. D) directionally correlated.
Gross domestic product is the:
a. total market value of the final goods and services produced by an economy during a specific period of time. b. total value of all the goods and services produced in an economy plus the value of the goods and services imported minus the value of the goods and services exported. c. total market value of all final goods and services produced by the factors of production of an economy during a given time period minus depreciation. d. total quantity of all goods and services produced in an economy during a specific period of time.
From the time of Benjamin Franklin to the present, the percentage of the average American's income that goes to pay taxes has
a. decreased from about 20 percent to about 10 percent. b. remained constant at about 10 percent. c. has risen from less than 2 percent to about 33.3 percent. d. has risen from less than 5 percent to about 25 percent.
In the long-run equilibrium of a market with free entry and exit, if all firms have the same cost structure, then
a. marginal cost exceeds average total cost. b. the price of the good exceeds average total cost. c. average total cost exceeds the price of the good. d. firms are operating at their efficient scale.