Income tax collections:
a. fall during periods of prosperity, thus increase federal budget deficits.
b. rise during periods of prosperity, thus reduce federal budget deficits.
c. fall during recessions, thus increase the problem of unemployment.
d. rise during recessions, thus increase the problem of unemployment.
b
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Monetarists believe that the quantity of money should be increased at an increasing rate
Indicate whether the statement is true or false
The official poverty level in the United States
a. has been the same since 1980 b. is the same as in other developed countries because it is based on a United Nations definition c. is defined by the United Nations d. is defined by the Department of Agriculture and based on food costs e. has been adjusted for inflation but not for changes in family size
A perfectly elastic long-run supply curve indicates
A) a decreasing-cost industry. B) a constant-cost industry. C) an increasing-cost industry. D) that some input prices change as firms enter and exit the industry.
Suppose a fishing boat currently brings 10,000 fish to market each day and earns a profit of $40,000 when the price of fish is $12 . Suppose that there are 100 workers on the boat, and each works 10 hours each day. If their health insurance premiums, paid by the boat owner, increase by $80 per worker, what will the new profit be?
a. $80,000 b. a loss of $40,000 c. $48,000 d. $32,000 e. a loss of $760,000