A. Wages and salaries.
B. income and money
C. goods and services.
firms and households
Related Mcqs:
- The record of a country’s imports and exports of of goods and services plus net investment incomes and current transfers of money to and from abroad, is called its ?
A. balance of payments on current account
B. visible trade balance
C. balance of trade
D. balance of payments - The graph that shows the relationship between the size of a tax and the tax revenue collected by the government is known as a ?
A. none of these answers
B. Reagan curve
C. Keynesian curve
D. Laffer curve
E. Henry George curve. - The Phillips curve shows the relationship between inflation and what ?
A. The balance of trade
B. The rate of growth in an economy
C. The rate of price increase
D. Unemployment - The curve that illustrates the negative relationship between the equilibrium values of aggregate output and the interest rate in the goods market is the ?
A. aggregate supply curve
B. LM curve
C. aggregate demand curve
D. IS curve - The relationship between the exchange rate and the prices of tradable goods is known as the ?
A. purchasing power parity theory
B. asset markets theory
C. monetary theory
D. balance of payments theory - If the cross-price elasticity of demand between two goods is negative, then the two goods are ?
A. normal goods
B. unrelated goods
C. Substitutes.
D. Complements - If the cross-price elasticity between two goods is negative the two goods are likely to be ?
A. substitutes
B. complements
C. necessities
D. luxuries - If, in the long run, people adjust their price expectations so that all prices and incomes move proportionately to an increase in the price level then the long-run Phillips curve ?
A. is vertical
B. is negatively sloped
C. has a slope that is determined by how fast people adjust their price expectations
D. is positively sloped - When an increase in government purchases raises incomes shifts money demand to the right raises the interest rate, and lowers investment we have seen a demonstration of ?
A. supply-side economics
B. None of these answers
C. The crowding-out effect
D. The multiplier effects - Because people’s income vary other the life cycle and because there are transitory shocks to people’s incomes the standard measures of income distribution ?
A. exaggerate the inequality of living standards
B. could exaggerate or understate the inequality of living standards depending on whether the transitory shocks are positive or negative
C. understate the inequality of living standards
D. accurately represent the true inequality of living standards
