If the stock market booms, investment will rise.
Answer the following statement true (T) or false (F)
True
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________ unemployment occurs due to a mismatch between the jobs that are available and the skills of workers seeking jobs
A) Frictional B) Cyclical C) Voluntary D) Structural
Over twenty years ago the city of Washington D.C. was facing a budgetary shortfall. In a plan to increase tax revenue the mayor and city council agreed to raise the excise tax on gasoline
Typically for goods like gasoline which are price inelastic this should have led to an increase in tax revenue. However, just the opposite happened – tax revenue plummeted! What could explain this seemingly paradoxical result?
In a market based firm
A) headquarters is really only interested in external business relationships. B) headquarters still needs total budget control. C) headquarters assigns property rights. D) a focus on manufacturing is appropriate.
If autonomous expenditures increased by $10 billion, what is the change in aggregate demand at a given price level if the MPC to consume is 0.8?
a. increase by $50 billion b. increase by $100 billion c. decrease by $100 billion d. decrease by $10 billion