Economics

In a closed economy: A) consumption is equal to zero. B) investment i

In a closed economy: A) consumption is equal to zero. B) investment is equal to zero. C) government spending is equal to zero. D) net exports is equal to zero. In a closed economy, without the government, the consumption expenditure equals $5,000 and the investment expenditure equals $2,000.   ANSWER D

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Date: September 2nd, 2020

Which of the following statements is true? A) Knowledge of economics

Which of the following statements is true? A) Knowledge of economics complicates decision making. B) Economics is more of a theoretical subject with limited applications in the real world. C) Testing with data is essential to develop a good theory. D) Cost-benefit analysis can be applied only to limited economic decisions.   ANSWER C

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Date: September 2nd, 2020

What does research tell us about the impact of Ricardian equivalence e

What does research tell us about the impact of Ricardian equivalence effects on the economy? A) Ricardian equivalence effects may exist, but their magnitudes are unclear. B) There is no evidence of any impact of Ricardian equivalence effects. C) Ricardian equivalence effects have a huge impact on aggregate demand. D) There is a very small […]

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Date: September 2nd, 2020