Answer the following statements true (T) or false (F)
1. National income accountants eliminate double counting of intermediate goods by using only the value of final goods.
2. Current disposable income can be adjusted for price changes and population changes to yield real per capita disposable income.
3. A transfer payment is a payment of money in return for which no current goods or services are produced.
4. The value of leisure is not taken into consideration in GDP accounting.
5. When final sales are less than GDP, a net reduction in inventory has taken place.
1. TRUE
2. TRUE
3. TRUE
4. TRUE
5. FALSE
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Which of the following is an example of an economic trade-off that a firm has to make?
A) deciding what profit margin it desires for its products B) whether or not consumers will buy its products C) whether it is cheaper to produce with more machines or with more workers D) deciding why consumers want its products
Even if we were able to completely eliminate greenhouse gas (GHG) emissions today, the problems associated with the accumulated stock of GHGs in the atmosphere will persist for a long time because:
A) their dissipation rate is very low. B) their dissipation rate is very high. C) the social discount rate is very low. D) the social discount rate is very high.
In the ordered pair (10,30), 10 is the horizontal location of the point and 30 is the vertical location of the point
a. True b. False Indicate whether the statement is true or false
If the market price of a DVD is $15 and a consumer was willing to pay $20 for it, that consumers surplus on the DVD is $5.
Answer the following statement true (T) or false (F)