The following table shows the price of a specific stereo receiver for a five-year period. Using year 3 as the base year, calculate the price index for each year






To get the price index numbers, one would divide the given year’s price by the year 3 price and multiply the result by 100 to express as a percentage in index form. So the year 5 index is $140 divided by $120 or 1.17. Multiply 1.17 ? 100 to get 117 expressed in percentage.

Economics

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We expect the demand curve in the perfectly competitive industry to be

A. negatively sloped. B. vertical. C. horizontal. D. perfectly elastic.

Economics

Refer to Figure 13.1. Assume the voting method used to select a location for the recreation center is the Condorcet method. In the first round of voting, the residents of the 4 towns can choose between Glacier Cove and Mountain View

The winner of that vote will receive ________ votes. A) 150 B) 285 C) 405 D) 480

Economics

Your new neighbor does not mow his lawn or prune the trees in his front yard. As a result, your house value decreases. Your neighbor generated

A) a negative externality. B) a positive externality. C) no externality. D) a non-rival good.

Economics

Assume that business investment spending rises, and the increase is funded by greater borrowing in the capital markets. If the nation has low mobility international capital markets and a fixed exchange rate system, what happens to the current international transactions balance and monetary base in the context of the Three-Sector-Model? a. The current international transactions balance rises and

monetary base rises. b. The current international transactions balance falls and monetary base falls. c. The current international transactions balance falls and monetary base rises. d. The current international transactions balance and monetary base remain the same. e. There is not enough information to determine what happens to these two macroeconomic variables.

Economics