Refer to the above figure. Which panel is consistent with the Fed buying bonds?
A) Panel A
B) Panel B
C) Panel C
D) Panel D
B
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Which of the following statements is true of market prices in a perfectly competitive market?
A) Market prices are determined by the government. B) Market prices allow for efficient allocation of scarce resources. C) Market prices are not stable and fluctuate widely. D) Market prices do not act as incentives for buyers.
It is estimated that in 2007, Mexico had a population of 110 million and Brazil had a population of 190 million. At the same time, Mexico's GDP was $1 trillion while Brazil's was $1.31 trillion. These data show that
A) Brazil had a healthier economy than did Mexico. B) Mexico's GDP per person was lower than was Brazil's GDP per person in 2007. C) Mexico's GDP per person was $9090 in 2007. D) Brazil's GDP per person was $5300 in 2007.
Suppose an economy has an increase in labor input of 60 percent, while output has increased by 100 percent. Assuming no change in total factor productivity, calculate the percentage increase in the capital input
(Use the Cobb-Douglas production function Y = A .)
When Patricia sells her General Motors common stock at the same time that Brian purchases the same amount of General Motors stock from another party, General Motors receives
A) the dollar value of the transaction. B) only the par value of the common stock. C) nothing. D) the dollar amount of the transaction, less brokerage fees.