In the United States -since 1981- which two of the following have almost always moved in the same direction?

A) net exports and the government sector balance
B) net exports and the private sector balance
C) the government sector balance and the private sector balance
D) none of the above


D

Economics

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Which of the following firms is most likely to have a constant marginal cost?

A) A firm that is a price taker B) A firm that has extremely high fixed costs C) A firm that has extremely high variable costs D) A firm that faces a horizontal demand curve

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Individuals will only pursue an activity if: a. E(MB) E(MC)

b. E(MB) = E(MC). c. E(MB) > E(MC). d. E(MB) < E(MC).

Economics

Which of the following rules is most consistent with profit maximization?

a. expand output when MR < MC b. reduce output when MR > MC c. expand output when TR > TC d. reduce output when TR > TC e. expand output when MR > MC

Economics

You're the president of the United States and your economic advisor tells you that the economy is in a state of stagflation. Are you happy? Stagflation refers to

a. inflation and low unemployment b. high unemployment and low levels of inflation c. high inflation, high unemployment, and low economic growth d. low inflation, low unemployment, and low economic growth e. low inflation, low unemployment, and high economic growth

Economics