Holding other factors constant, a decrease in the tax rate on revenue generated by capital will:
A. decrease investment.
B. increase national saving.
C. decrease national saving.
D. increase investment.
Answer: D
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Which of the following statements is true?
A) The government plays absolutely no role in economies characterized by communism. B) Competition among firms is likely to be higher in communist economies than in market economies. C) The government plays absolutely no role in economies characterized by market economies. D) Competition among firms is likely to be higher in market economies than in communist economies.
All of the following are possible ways to avoid price wars EXCEPT:
a. customer segmentation with revenue management b. growing the market c. reference prices and framing effects d. to not start one e. a through c f. a through d Indicate whether the statement is true or false
Along the consumption function, an increase in disposable income will:
a. cause autonomous consumption to rise b. shift the consumption function upward. c. cause a corresponding downward shift of the saving function. d. cause a movement along the given consumption function. e. shift the consumption function downward.
John owns a number of hot dog stands in New York City. He hires workers to sell hot dogs at his stands. Which of the following events will lead to a decrease in John's demand for hot dog vendors?
a. Hollywood glamorization of a new movie about a hot dog vendor leads hundreds of high-school students in New York City to apply for a job at John's. b. The price of hot dogs falls. c. The local hot dog vendors form a union increasing hot dog vendor wages. d. The demand curve for hot dogs shifts to the right.