The income effect is thought to offset the substitution effect among very high wage earners
a. True
b. False
Indicate whether the statement is true or false
True
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If the number employed is 190 million, the number unemployed is 10 million, and the working-age population is 250 million, then the labor force participation rate is
A) 4%. B) 5.2%. C) 60%. D) 76%. E) 80%.
For most firms, the short run is a one-year period.
Answer the following statement true (T) or false (F)
The slope of a production possibilities frontier measures:
A. the opportunity cost of producing one good in terms of the other good. B. the trade-off in the consumptionof one good versus the other good C. how much of the resources must be used in order to produce one the goods. D. inefficient production of a good.
The private sector cost of tax revenues is equal to the
a. tax revenue collected by government from individuals in the economy. b. income that could have been earned by government employees if they had worked in the private sector. c. difference between government expenditures and tax revenues. d. tax revenue plus the cost of tax compliance and the excess burden of taxation.