The analysis of the three major macroeconomic markets shows:
a. That GDP is a constant figure which is not influenced by any movements in the three markets.
b. That the three markets are uncorrelated and movements in one market are independent from movements in the other two markets.
c. That movements in one market cause predictable changes in the other two markets.
d. A) and B) are both correct.
.C
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From 2004 to 2006, the European Union budget was ________, private saving was ________ domestic investment, and foreign lending ________
A) balanced, roughly equal to, negligible B) balanced, less than, substantial. C) surplus, greater than, negligible D) in deficit, greater than, negligible
Macroeconomics is concerned primarily with
A) positive economics. B) production and prices in particular markets. C) aggregate economic variables. D) normative issues.
Why do elephants face the threat of extinction while cows do not?
a. Cattle are a valuable source of income for many people, while elephants have no market value. b. There is a high demand for products that come from cows, whereas there is no demand for products that come from elephants. c. There are still lots of cattle that roam free, while all elephants live in zoos. d. Cattle are owned by ranchers, while elephants are owned by no one.
In the absence of government
A) public goods are likely to be overprovided. B) market failure is less likely to occur. C) public goods are likely to be underprovided. D) the free-rider problem is more likely to occur.