Which of the following is the correct calculation for determining national income (NI)?
a. Subtract factor payments from GNP to get NNP; subtract foreign revenue from NNP
to get NI.
b. Subtract factor payments from GNP to get NNP; subtract depreciation from NNP to
get NI.
c. Subtract depreciation from GNP to get NNP; subtract indirect business taxes from
NNP to get NI.
d. Subtract depreciation from GNP to get NNP; subtract factor payments from NNP to
get NI.
c. Subtract depreciation from GNP to get NNP; subtract indirect business taxes from
NNP to get NI.
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If an airport decides to expand by building an additional passenger terminal, and in doing so it lowers its average cost per airplane landing, then the expansion would provide ________ to the airlines
A) higher marginal costs but lower total costs B) higher average costs but lower total costs C) economies of scale D) diseconomies of scale
Suppose the economy is producing at the natural rate of output. An increase in consumer and business confidence will cause ________ in real GDP in the long run and ________ in inflation in the long run, everything else held constant
A) an increase; an increase B) a decrease; a decrease C) no change; an increase D) no change; a decrease
The results of the Bureau of Labor Statistics' establishment survey measure
A) only the number of nonfarm payroll workers who have found employment. B) only the number of nonfarm payroll workers who have lost jobs. C) the net change in nonfarm payroll worker employment. D) the number of nonfarm payroll workers and farm workers who have found jobs minus the number of nonfarm payroll workers and farm workers who have lost jobs and are no longer seeking employment.
The ________ is the most widely traded currency in the world.
A) pound B) yen C) euro D) U.S. dollar