During the New Deal, the structure of capitalism in the U.S. changed forever in each of the following areas except for one. Which one?
(a) The relation between government and markets changed in the sense that government interventions of one sort or another occurred.
(b) The Federal Reserve System began to control actively the money supply and interest rates to control overall levels of consumer and business spending in the economy.
(c) Government spending rose and was intended to serve as an economic stimulus, similar to private investment spending.
(d) Individual households began to take greater charge over their own economic welfare with no government assistance.
(d)
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Between 2002 and 2014, employment a. declined in construction and manufacturing
b. declined in construction and increased in manufacturing. c. delclined in manufacturing and increased in construction. d. increased in construction and manufacturing.
Joe is the owner of the 7-11 Mini Mart, Sam is the owner of the SuperAmerica Mini Mart, and together they are the only two gas stations in town. Currently, they both charge $3 per gallon, and each earns a profit of $1,000. If Joe cuts his price to $2.90 and Sam continues to charge $3, then Joe's profit will be $1,350, and Sam's profit will be $500. Similarly, if Sam cuts his price to $2.90 and Joe continues to charge $3, then Sam's profit will be $1,350, and Joe's profit will be $500. If Sam and Joe both cut their price to $2.90, then they will each earn a profit of $900.The clear outcome of this game is that:
A. neither Joe nor Sam will cut his price. B. Sam will cut his price and Joe won't. C. both Joe and Sam will cut their price. D. Joe will cut his price and Sam won't.
The "double coincidence of wants" problem is
A) resolved under a system of barter. B) always present in all economic systems. C) resolved by the use of money. D) created by the use of money.
The idea that a government budget deficit decreases investment is called
A) government dissaving. B) the crowding-out effect. C) the Ricardo-Barro effect. D) the capital investment effect.