The International Monetary Fund has classified 192 economies, comparing the:
a. value of their currencies.
b. percentage of women in the workforce.
c. effectiveness of governance and institutions.
d. flexibility of their exchange rate regimes.
Ans: d. flexibility of their exchange rate regimes.
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Assume that disposable income equals $1000 and the mpc equals 0.6. If total consumption equal $800, then autonomous consumption is equal to
A) $0. B) $200. C) $800. D) $1000.
Based on the answer above, the price for peanut butter_____________ and the quantity demanded for peanut butter ____________
a. Uncertain; decreases b. Decreases; increases c. Decreases; uncertain d. Increases; uncertain
The 2008 credit crunch occurred when banks reduced lending in response to a. the loss of asset value for mortgage backed securities and mortgage loans. b. having too little capital to satisfy capital requirements
c. an excess of bank capital. d. an increase in the required reserve ratio.
Refer to the information in Figure 16.5 below to answer the question(s) that follow.
?Figure 16.5Figure 16.5 shows the marginal benefits of emitting pollution for the only two chemical companies in an industry, Alpha Chemicals and Beta Chemicals. Before any tax on pollution emissions is imposed, each company views pollution as being free.Refer to Figure 16.5. Suppose that instead of a tax, the government uses standards to achieve the emission reductions, requiring that each company cut its original emissions in half rather than allowing each company to choose emissions based on their costs. Compared to the situation under the tax, Alpha would ________ and
Beta would ________. A. have to further reduce emissions; have to further reduce emissions B. be able to increase emissions; have to further reduce emissions C. be able to increase emissions; be able to increase emissions D. have to further reduce emissions; be able to increase emissions