Refer to Figure 14.2. A movement from point d to point b could be caused by a(n):
A. increase in government spending.
B. increase in the price of oil.
C. increase in taxes.
D. decrease in short-run aggregate supply.
Answer: C
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For almost 70 years international trade policies have been governed
A) by the World Trade Organization. B) by the International Monetary Fund. C) by the World. D) by an international treaty known as the General Agreement on Tariffs and Trade (GATT). E) by the North American Free Trade Agreement (NAFTA).
What a buyer pays for a unit of a specific good or service is called:
a. debit. b. MSRP. c. cost. d. price.
Suppose that in year 1 every adult in the country works 40 hours a week and GDP is $6.7 trillion. In year 2 every adult in the country works 45 hours a week and GDP is $7.5 trillion. Which of the following statements is true?
A) Per-capita GDP is necessarily higher in year 2 than year 1. B) People are "better off" in year 2 than in year 1 because there are more goods and services in year 2 than year 1. C) Government transfer payments were higher in year 2 than in year 1. D) a and b E) none of the above
The unemployment rate is equal to the natural unemployment rate at
A) some point within the interior of the physical PPF but beyond the institutional PPF. B) some point within the interior of the physical PPF, but we cannot locate it with more accuracy. C) some point within the interior of the institutional PPF, but we cannot locate it with more accuracy. D) every point on the institutional PPF. E) every point on the physical PPF.