The amount of consumption in an economy depends:
a. Inversely on the level of saving
b. Directly on the level of disposable income
c. Inversely on the level of disposable income
d. Directly on the rate of interest
b. Directly on the level of disposable income
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Which of the following goals is most likely to help Jane reduce her body fat from 30% to 20%?
a. "I will reduce my body fat to 20% body fat through exercising." b. "I will reduce my body fat to 20% body fat through eating right." c. "I will reduce my body fat to 20% body fat in 2 weeks." d. "I will reduce my body fat to 20% body fat in 20 weeks."
How do specialized lending channels created by central banks affect the economy during a recession?
What will be an ideal response?
The price-specie-flow mechanism
A) is an automatic mechanism for assuring external balance under floating exchange rates. B) is an automatic mechanism for assuring external balance under the gold standard. C) is an automatic mechanism for assuring internal balance under floating exchange rates. D) is an automatic mechanism for assuring internal balance under the gold standard. E) is an automatic mechanism for assuring internal balance under mercantilism.
Assume the supply function for good X can be written as Qs = -100 + 27Px - 5Py - 1.8W, where Px = the price of X, Py = the price of good Y, and W = Wage index for workers in industry X. According to this equation:
A) X and Y are substitutes in production. B) X and Y are complements in production. C) a decrease in wages would cause a decrease in the quantity supplied at each price. D) each one unit increase in price causes quantity supplied to increase by 73 units.