If the demand for money is relatively stable,
A) the velocity of money will be constant.
B) the velocity of money will grow at a steady and predictable rate.
C) a fixed growth rate for the nominal money supply will lead to a stable growth rate of nominal GDP.
D) B and C are both correct.
D
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If total consumption spending is $1,000, the marginal propensity to consume is 0.6, and total output is $2,000, then the constant term is
A) $800. B) $1,000. C) $2,000. D) $1,200.
At the college level there is complete school choice
a. True b. False
External costs can be defined as
A) the cost associated with private production, but partially borne by society. B) the sum of all private production costs. C) the cost of running the federal government. D) the cost of providing all public goods and services.
Bob's Barber Shop cut 3,000 heads of hair in 2016 and 3,100 in 2017. The price of a haircut was $7 in 2016 and $8 in 2017. If 2016 is the base year, what was Bob's contribution to real GDP in 2016?
A. $24,800 B. $21,700 C. $24,000 D. $21,000