Refer to the consumption schedule above. As income falls from level 3 to level 2, the amount of:
A. Consumption increases and the amount of dissaving increases
B. Consumption decreases and the amount of dissaving decreases
C. Consumption decreases and the amount of saving decreases
D. Consumption decreases and the amount of saving increases
C. Consumption decreases and the amount of saving decreases
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In the movie Cast Away, Tom Hanks plays a FedEx efficiency expert stranded on a deserted island. While on the island, he divides his time between catching fish, gathering coconuts, painting, and building a raft
Suppose that these were Mr. Hanks' only activities. Did he face an opportunity cost from pursuing any of these activities? Why or why not?
An asset is ________
A) equal in value to its corresponding liabilities and net worth B) a debt for the owner of the asset C) a net outflow from the revenues of a producing firm D) anything that can be owned and has value
Suppose the United States decides to impose a $1,000 tax on every Japanese minivan sold in the United States. This is an example of:
a. a tariff. b. free trade. c. comparative advantage. d. the diversity of industry argument. e. a quota.
If a bank receiving a new deposit of $200,000 would be able, as a result, to increase their lending by at most $120,000, then the required reserve ratio equals: a. 4%
b. 25%. c. 40%. d. 50%.