Which of the following events will leave GDP unchanged?
a. You purchase 100 shares of Wal-Mart stock.
b. You pay $500 to repair the damage done to your car by an uninsured motorist.
c. You decide to work five more hours per week at your job to pay for the repairs performed on your car.
d. You purchase a new car at an auction.
A
You might also like to view...
Commitment devices are necessary when:
A. people cannot correctly identify their dominant strategy. B. following through on a threat or promise is not in a player's best interest. C. players cannot trust that other players will avoid playing a dominated strategy. D. commitments cannot be purchased.
A perfectly competitive firm is more likely to shut down during a recession, when the demand for its product declines, than during an economic expansion, because during the recession it might be unable to cover its
A) fixed costs. B) variable costs. C) external costs. D) depreciation due to machinery becoming obsolete.
The slope of the IS curve will be steeper the __________ is the sensitivity of investment to a unit change in the interest rate and the __________ is marginal propensity to save
A) greater; larger B) greater; smaller C) less; larger D) less; smaller
The Federal Reserve System is divided into
a. 2 districts b. 12 districts c. 4 districts d. 50 districts e. 10 districts