Inflation leads to bracket creep, which forces taxpayers to pay a larger percentage of their income in taxes, when (a) Changes in the real purchasing power of their income do not keep pace with inflation. (b) Changes in the real purchasing power of their income keep pace with inflation. (c) Income tax codes change quickly […]
On the farm, which of the following people had the highest labor value? (a) A woman (b) A man (c) A child (d) A grandparent ANSWER (b)
Which of the following is correct? The natural rate of unemployment a. is a zero unemployment rate. b. has been steady at 3 percent over the past decade. c. is defined by Friedman as that rate of unemployment “in which everyone who wants a job can have a job.” d. is the unemployment rate that […]
The net capital inflow is a. positively related to the domestic interest rate minus the foreign interest rate. b. negatively related to the domestic interest rate minus the foreign interest rate. c. positively related to the exchange rate. d. negatively related to the exchange rate. e. both a and c. ANSWER A
The downturn in the immigration cycle beginning in the 1850s is attributable to which group? (a) Children (b) Grandparents (c) Women (d) Men ANSWER (d)
One would expect a shift down in the Phillips curve if there was a(n) a. a decrease in aggregate demand. b. decrease in government spending. c. decrease in the money supply. d. a shift in aggregate supply to the left. e. Any of the above ANSWER D
Naturally born members of the U.S. population resisted immigration in the antebellum period for all of the following reasons except (a) Immigrants were prisoners and outcasts from other countries. (b) Immigrants could gain political power and possess political influence. (c) Immigrants displaced U.S. born laborers. (d) Immigrants brought their own religions and spiritual beliefs. […]
The 1990s and 1920s have which of the following in common? (a) Growth in real output, real output per person, employment and productivity (b) Changes in the levels of nominal output, money supply and participation in the stock market (c) Similar expansions in the stock markets at the end of each period (d) All of […]
Bracket creep forces taxpayers to pay a larger percentage of their income in taxes when which of the following occurs? (a) The emergence of high unemployment (b) Inflation (c) Deflation (d) The growth of trade deficit(s) ANSWER (b)
The decision to give the politically appointed members of the Federal Reserve Board an automatic majority weakened the power of the private sector in the determination of monetary policy. Indicate whether the statement is true or false ANSWER TRUE
