Which of the below statements is true? a. It is efficient to produce beyond the equilibrium output level as long as costs are low. b. The level of output that maximizes the value of an economy’s output is found at the intersection of supply and demand in a competitive market. c. Production and exchange is […]
Date: September 9th, 2020
The deficit is financed through new taxes. a. True b. False ANSWER b
Date: September 9th, 2020
Social insurance taxes and individual income taxes comprise more than 80 percent of federal revenues. a. True b. False ANSWER a
Date: September 9th, 2020
State and local governments were smaller than the federal government in 1900. a. True b. False ANSWER b
Date: September 9th, 2020
Total government expenditure as a percentage of GDP is lower in the United States than in Sweden. a. True b. False ANSWER a
Date: September 9th, 2020
In 2002, government expenditures as a percentage of GDP were lowest for which country? a. Sweden b. United States c. Germany d. France ANSWER b
Date: September 9th, 2020
The individual’s budget constraint is _____. a. the amount of money she has in the bank b. determined by dividing the individuals income by the price of the goods she wants to buy c. the maximum amount one good she can consume given her consumption of other goods d. a line depicting all the possible […]
Date: September 9th, 2020
Which of these actions will occur to the budget constraint when an individual’s income increases? a. shifts outward b. shifts backward c. rotates clockwise d. cannot be determined from the information given ANSWER a
Date: September 9th, 2020
Briefly discuss the source of federal government revenues. Give special attention to the evolution of revenue sources since the 1960s. What will be an ideal response? ANSWER Just as in 1960, the bulk of federal revenues come from individual income taxes. In 1960, 44 percent came from individual income taxes and in 2000 49.6 […]
Date: September 9th, 2020
The utility maximizing consumption bundle for an individual can be found by locating _____. a. the individual’s bliss point b. any point on an indifference curve touching the budget constraint c. the highest point on an individual’s indifference curve d. the point tangent to an individual’s budget constraint ANSWER d
Date: September 9th, 2020
