If the incremental capital output ratio is 3 and the ratio of saving to national income is 9%, according to the Harrod-Domar model the growth rate of income is
(a) zero.
(b) 3%.
(c) 6%.
(d) 12%.
B
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The growing popularity of energy conservation has enticed large home improvement stores like Home Depot and Lowes to offer tankless water heaters
How does the fact that home improvement stores now offer these products affect the tankless water heater market? A) The demand curve for tankless water heaters shifts to the left. B) The supply curve for tankless water heaters shifts to the left. C) The supply curve for tankless water heaters shifts to the right. D) The demand curve for tankless water heaters shifts to the right.
F-statistics computed using maximum likelihood estimators
A) cannot be used to test joint hypothesis B) are not meaningful since the entire regression R2 concept is hard to apply in this situation C) do not follow the standard F distribution D) can be used to test joint hypothesis
James used $250,000 from his savings account that paid an annual interest of 15% to purchase a hardware store. After one year, James sold the business for $320,000 . What is his economic profit?
a. $320,000 b. $70,000 c. $282,500 d. $32,500
Ceteris paribus, based on the circular flow model, a spending injection results in:
A. A decrease in total income for consumers. B. An increase in total income for consumers. C. An increase in the MPS. D. A decrease in the MPS.