Which of the following is the chief link between the U.S. federal budget deficit and the U.S. trade deficit during the 1980s?
a. High U.S. interest rates led to a rise in the relative value of the dollar
b. High U.S. interest rates led to a decrease in the relative value of the dollar.
c. Higher interest rates resulted in the crowding out of some private investment, reducing the stimulating effect of the government's deficit.
d. The U.S. price level declined relative to that of foreign countries, causing U.S. interest rates to fall.
e. The additional fiscal stimulus provided by a higher government deficit encouraged some firms to invest more.
a
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Which of the following statements is NOT true about using per capita real GDP to measure a nation's economic growth?
A) The definition does not indicate how the increase in growth is being disturbed among the nation's population. B) The definition assumes that some of the increase in productivity goes to the poor. C) The definition is not perfect for measuring increases in a nation's productive capacity. D) The definition has understated actual economic growth because it does not take into consideration changes in leisure.
The federal government's fiscal year begins on ______ of the preceding calendar year
a. January 1 b. April 15 c. October 1 d. December 31
A rare coin dealer is likely to have a _______________ price elasticity of supply than does a coffee shop due to ____________________.
A. more elastic; the availability of inputs B. less elastic; the availability of inputs C. more elastic; a longer adjustment time D. more elastic; a shorter adjustment time
Which of the following would be included in a person's life-cycle wealth?
a. savings account b. refrigerator c. stock in a corporation d. government savings bonds e. income