Which of the following topics is a macroeconomic subject?
A. increases in the overall price level of a nation
B. a proposed merger between two companies
C. the level of sales at a particular department store
D. the pricing decision of a firm
Answer: A
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Which of the following statements is TRUE of static tax analysis?
A) A government receives lower tax revenues by raising the tax rate. B) A government receives higher tax revenues by raising the tax rate. C) A government cannot change it tax revenues by changing the tax rate. D) A change in the tax rate can raise or lower tax revenues, depending on other factors.
Assume that the demand schedule for product C is downsloping. If the price of C falls from $2.00 to $1.75:
a. The demand for C will rise b. A smaller quantity of C will be demanded c. The demand for C will fall d. A larger quantity of C will be demanded
Educational policy in most developing countries focuses too much on primary and secondary education and not enough on higher education.
Answer the following statement true (T) or false (F)
When the government closes an expansionary gap with a change in government spending, the _____ in government spending leads to _____.
Fill in the blank(s) with the appropriate word(s).