Refer to the information. The multiplier for this economy is:
Answer the question on the basis of the following information for a mixed open economy. The letters Y, C a , I g , X n , G, and T stand for GDP, consumption, gross investment, net exports, government purchases, and net taxes respectively. Figures are in billions of dollars.
A. 4.
B. 3.
C. 2.
D. 2.33.
A. 4.
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Which of the following should be used to compare the incomes of countries with equal population but different unemployment rates?
A) Gross national product B) PPP-based measure of income per capita C) Income per worker D) Exchange rate-based measure of income per capita
An increasing returns to scale production function could be quasiconcave.
Answer the following statement true (T) or false (F)
Refer to Table 2-12. What is Guatemala's opportunity cost of producing one canoe?
A) 1/6 of a sailboat B) 2/3 of a sailboat C) 6 sailboats D) 7.5 sailboats
A major disadvantage of a corporation is
a. its weakness at raising funds. b. its inability to limit the financial liability of the owners. c. the double taxation of its profits. d. its lack of continuity in the event of a stockholder’s death.