Macroeconomics

In the four decades from 1860 to 1900, the U.S. population nearly trip

In the four decades from 1860 to 1900, the U.S. population nearly tripled. Real Gross Domestic Product (GDP) (a) fell by more than the amount by which the population increased. (b) fell by the same amount by which the population increased. (c) rose at about the same rate as the population increase. (d) increased by […]

Read full post

Date: September 10th, 2020

According to the neoclassical growth model, if a country makes a polic

According to the neoclassical growth model, if a country makes a policy change to increase its savings rate, in the new steady state: a. output per worker will grow faster than before. b. output per worker will grow at the rate of technology growth. c. capital per worker will be permanently higher. d. all of […]

Read full post

Date: September 10th, 2020

From the mid 1980s to the present, the United States a. had only a sm

From the mid 1980s to the present, the United States a. had only a small current account deficit. b. had a large capital account deficit, which in the balance of payments accounts was financed with a surplus in the current account, which in turn financed investment in excess of domestic saving. c. has had a […]

Read full post

Date: September 10th, 2020

Federal taxes increased in 1932, 1935 and 1937, and Social Security ta

Federal taxes increased in 1932, 1935 and 1937, and Social Security taxes were imposed in 1937 . Which group is credited for these tax increases during the Great Depression? (a) Classical economists (b) Keynesian economists (c) Monetarists (d) Government officials and special interest groups   ANSWER (d)

Read full post

Date: September 10th, 2020

The “middle-class” ideal that developed in the early 19th century incl

The “middle-class” ideal that developed in the early 19th century included which of the following elements? (a) Women were socially and legally equal to men and were encouraged to choose between working and staying in the home (avoiding wage-labor in the factories). (b) Men were to be the income earners providing for the family’s material […]

Read full post

Date: September 10th, 2020

The Cold War was of overriding importance during the period after Worl

The Cold War was of overriding importance during the period after World War II for all of the following reasons except (a) It was an automatic “pump primer” which helped keep spending levels high in the overall economy. (b) It helped fuel growth of key sectors of the economy, such as aircraft manufacturing and computers. […]

Read full post

Date: September 10th, 2020