Starting from long-run equilibrium, a war that raises government purchases results in ________ output in the short run and ________ output in the long run.
A. lower; potential
B. higher; potential
C. higher; higher
D. lower; higher
Answer: B
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One common measure of the "standard of living" in a nation is ________.
A. real GDP B. population size C. the unemployment rate D. real GDP per capita
Economists are able to determine total utility by:
A. multiplying the marginal utility of the last unit consumed by the number of units consumed. B. summing up the marginal utilities of each unit consumed. C. multiplying the marginal utility of the first unit consumed by the number of units consumed. D. multiplying the marginal utility of the last unit consumed by the unit price.
Why don't the winners from free trade win the political argument?
What will be an ideal response?
When a firm is able to put idle equipment to use by hiring another worker,
a. variable costs will rise. b. variable costs will fall. c. fixed costs will fall. d. both fixed costs and variable costs will rise.