If disposable income is $400 billion, autonomous consumption is $60 billion, and MPC is 0.8, what is the level of saving?
A. $20 billion.
B. $210 billion.
C. $380 billion.
D. $590 billion.
Answer: A
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The number of US households with access to the Internet is growing rapidly. Compared to 50 years ago, one would predict that when considering a major purchase, people today will gather:
A. more information because the Internet has lowered the cost of gathering information. B. less information because the Internet has lowered the cost of gathering information. C. more information because the Internet has increased the cost of gathering information. D. less information because the Internet has increased the benefit of gathering information.
According to the Application, in 1960 the Cuban government
A) did not allow people to sell or rent their homes. B) caused a large shortage of housing as a result of its policies. C) confiscated most housing in the country. D) all of the above.
Increasing concentration always means an industry has become effectively monopolized.
Answer the following statement true (T) or false (F)
Scarlett developed an economic model to describe the behavior of consumers according to the good price, and their income and tastes. All else equal, her model predicts that an increase in the price of the good may increase or decrease the number of units purchased. What can be said about Scarlett's model?
A) The model's prediction is ambiguous. B) The model's prediction is not ambiguous. C) The model has no assumptions. D) B and C