A favorable supply shock will cause the price level
a. and output to rise.
b. and output to fall.
c. to rise and output to fall.
d. to fall and output to rise.
d
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If your income increases from $33,000 to $41,000 and your consumption increases from $8,000 to $12,000 . your marginal propensity to consume (MPC) is:
a. 0.2. b. 0.4. c. 0.5. d. 0.8. e. 1.0.
An increase in market demand for a product in a competitive market will raise profits for firms currently in the market
a. true b. false
Which of the following shifts aggregate demand to the right?
a. a decrease in the money supply b. increases in the profitability of capital due perhaps to technological progress. c. the repeal of an investment tax credit d. a decrease in the price level
Samantha recently quit her job at the university because she is looking for another job for which she is qualified in a small town. Samantha is
A. Frictionally unemployed. B. Not part of the labor force and does not contribute to the unemployment rate. C. Structurally unemployed. D. A discouraged worker and is part of the unemployment statistic.