An increase in a consumer's income
a. increases the slope of the consumer's budget constraint.
b. has no effect on the slope of the consumer's budget constraint.
c. decreases the slope of the consumer's budget constraint.
d. has no effect on the consumer's budget constraint.
b
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By definition, disposable income is equal to
A) consumption minus saving. B) consumption plus saving. C) consumption plus investment. D) investment plus saving.
According to classical macroeconomic theory, changes in the money supply affect
a. variables measured in terms of money and variables measured in terms of quantities or relative prices b. variables measured in terms of money but not variables measured in terms of quantities or relative prices c. variables measured in terms of quantities or relative prices, but not variables measured in terms of money d. neither variables measured in terms of money nor variables measured in terms of quantities or relative prices
If a nation’s productivity grows by 3% rather than 1.5% over many years, what will be the difference in the nation’s standard of living? Explain
Please provide the best answer for the statement.
Which of the following statements is TRUE regarding the textbook used in this course?
A) The textbook presents only economic theory, so no value judgments are involved in the text. B) The textbook does not include normative statements. C) The microeconomic section of the book includes only positive analysis while the macroeconomic section includes normative analysis. D) The selection of topics included in the book involves value judgments as well as economic theory.