As income rises, the share of income spent on food in the United States

A) falls.
B) remains constant at 15 percent.
C) remains constant at 33 percent.
D) rises.


A

Economics

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The Federal Open Market Committee (FOMC)

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In the game in Scenario 13.14, each firm has a strategy that would not be chosen under any circumstances. This strategy is

A) Q = 50. B) Q = 100. C) Q = 150. D) "choose the same Q as the other player." E) "choose a Q different from the other player's."

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Larry was accepted at three different graduate schools, and must choose one. Elite U costs $50,000 per year and did not offer Larry any financial aid. Larry values attending Elite U at $60,000 per year. State College costs $30,000 per year, and offered Larry an annual $10,000 scholarship. Larry values attending State College at $40,000 per year. NoName U costs $20,000 per year, and offered Larry a full $20,000 annual scholarship. Larry values attending NoName at $15,000 per year. What is Larry's economic surplus from attending State College instead of his next best alternative?

A. $10,000 B. $5,000 C. $40,000 D. $20,000

Economics

If the bank advertises 6 percent annual interest rate on a one-year certificate of deposit and you anticipate the rate of inflation to rise to 3 percent during the year, then the real rate of interest on the certificate of deposit is

A) 9 percent. B) 6 percent. C) 3 percent. D) 2 percent.

Economics