The value of the multiplier ________ as the marginal propensity to save decreases
A) decreases B) increases C) is constant D) becomes negative
B
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All of the following statements provide evidence in support of the Beard-Hacker Thesis except:
a. The Civil War caused a transfer of political power from Southern agrarians to Northern industrial capitalists. b. Following secession, Congress passed legislation to increase tariffs and grant land to railroads. c. The Civil War created a demand stimulus for manufactured goods to support the war effort. d. The growth rate in commodity output between 1860 and 1870 was 2.0 percent for the economy as a whole and 2.3 percent for the manufacturing sector.
Changes in technology over time will result in
A) a more inelastic supply curve. B) a more elastic supply curve. C) a unitary elastic supply curve. D) no change in the elasticity of supply.
How do current tax laws in the United States favor employer-based health care insurance?
A) Individuals who receive health insurance benefits are allowed to deduct the value of these benefits from their taxable income. B) Employers who provide health insurance benefits are reimbursed by the government and are not taxed on these reimbursements. C) Individuals who receive health insurance benefits do not pay taxes on the value of these benefits. D) Health insurance companies that provide insurance to employers are subject to a lower tax rate than those insurance companies that provide insurance to private individuals.
If nominal GDP is less than real GDP, then the GDP deflator will be greater than 100
Indicate whether the statement is true or false