A front-page story in the New York Times carries the headline "War on Drugs Continues: 200 More Arrested.". On the editorial page, an opinion piece on the subject is titled "Do We Really Need the War on Drugs?" The opinion piece is more likely than the front-page story to
a. have macroeconomic content
b. be fact-finding
c. contain normative statements
d. contain positive statements
e. be less a matter of debate
C
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The price elasticity of demand for a horizontal demand curve is:
a. 0. b. -1. c. 1. d. - infinity.
If there is a leftward shift of the money demand curve, which of the following should the Fed do if it wants to keep the price level stable?
a. Lower its interest rate target b. Sell bonds in the open market c. Wait, since the price level does not usually change when the money demand curve shifts d. Raise its interest rate target e. Buy bonds in the open market
In an economy with a population of 100 million persons, 42 million hold civilian jobs and 6 million are not working but are looking for jobs. The number counted as unemployed is
a. 48 million. b. 6 million. c. 36 million. d. 52 million. e. 58 million.
India is not a member of the China-ASEAN (Association of South East Asian Nations) free-trade area implemented on January 1, 2010. As a result, India fears that some of its:
a. exports to China will be diverted to ASEAN countries. b. exports to the United States will be diverted to China. c. exports to China and to ASEAN countries will be diverted to trade among members of the China-ASEAN free-trade area. d. imports from ASEAN countries will be diverted to China.