Between 1945 and 1950, the U.S. price level rose by one-third. This increase was complemented by which of the following? (a) An increase in nominal and real GDP (b) An increase in nominal GDP but a decrease in real GDP (c) An increase in real GDP but a decrease in nominal GDP (d) Stable nominal […]
Date: September 10th, 2020
An increase in the expected price level will a. increase labor supply, money wages, decrease the price level and income. b. decrease labor supply, increase money wages, decrease the price level and income. c. decrease labor supply, decrease money wages, and decrease the price level and income. d. increase labor supply, decrease money wages, decrease […]
Date: September 10th, 2020
During a recession the: a. actual budget deficit is smaller than the structural budget deficit. b. cyclical budget deficit is larger than the structural budget deficit. c. actual budget deficit is larger than the structural budget deficit. d. structural budget deficit is larger than the cyclical budget deficit. e. none of the above. ANSWER […]
Date: September 10th, 2020
Which of the following economic theories share(s) the noninterventionist policy conclusions of the original classical theory? a. The Keynesian theory b. The monetarist theory c. The new classicist theory d. Both b and c e. All of the above ANSWER D
Date: September 10th, 2020
The United States gained significant strength globally in manufacturing production during the Civil War (1861–1865). Indicate whether the statement is true or false ANSWER FALSE
Date: September 10th, 2020
Modern union leaders are (a) generally much more conservative than their predecessors in the late 19th and early 20th centuries. (b) generally more radical than their predecessors in the late 19th and early 20th centuries. (c) neither more conservative nor more radical than their predecessors. (d) more radical on issues such as wages and working […]
Date: September 10th, 2020
The value of the output produced in an economy reflects the value of the income generated by the factors of production used to produce that output. Indicate whether the statement is true or false ANSWER TRUE
Date: September 10th, 2020
The absence of the Southern economy’s ability to earn foreign exchange and its markets severely impacted all non-local trade in the U.S. after the Civil War. Indicate whether the statement is true or false ANSWER TRUE
Date: September 10th, 2020
Assume that the total deficit is $100 billion and the economy is above potential output. Now the level of economic activity falls back to its potential level output, leading to an decrease in tax revenues increase by $50 billion an increase in transfer payments fell by $10 billion. Then, what is the structural deficit? a. […]
Date: September 10th, 2020
According to Keynesian theory, the profit-maximizing firm demands labor up to the point at which a. the real wage is equal to the marginal productivity of labor. b. the money wage paid to labor is just equal to the money value of the marginal product of labor. c. labor and capital costs are equal. d. […]
Date: September 10th, 2020
